Question

How many iron and steel factories are there in India at present? Are these iron and steel factories among the best in the world, or do you think that these factories need restructuring and upgradation? If yes, how can this be done? There is an argument that industries which are not strategic in nature should not continue to be in the public sector. What is your view?

Answer 1

1. India has many iron and steel plants, from major integrated steel plants to smaller units. In 2025–26, the seven largest producers alone had a combined crude-steel capacity of about 117 million tonnes. India’s total crude-steel capacity is about 220 million tonnes.
2. Many plants need continuous modernisation and technological upgradation to improve productivity, reduce costs and produce better-quality steel.
3. Upgradation can be done through modern machinery, energy-efficient technology, better pollution-control systems, automation, and improved infrastructure.
4. India also needs to reduce dependence on imported raw materials such as coking coal and increase production of specialised, high-quality steel.
5. Public-sector steel companies still play an important role. In 2023–24, SAIL, RINL and NMDC Steel together produced about 17% of India’s crude steel.
6. However, industries not considered strategically important do not necessarily have to remain entirely under government ownership.
7. Private participation can sometimes bring more investment, efficiency and modern technology, while the government can continue to regulate the industry and protect workers and national interests.

Thus, India’s steel industry should continue to be modernised and made more efficient. Public ownership may be important in strategic areas, but in non-strategic industries, a balanced mix of public and private participation can be useful.