bs sponge private limited - India Environment Portal

B.S. SPONGE PRIVATE LIMITED
Village: Taraimal, Tehsil: Gharghoda, District: Raigarh, (C.G.)
REIA Report for the Proposed Mini Integrated Steel Plant
Chapter – 2
2.2 NEED FOR THE PROJECT
Driven by buoyant steel-intensive economic activity including construction and
infrastructure building in many developing economies, global apparent
consumption of steel has increased at an average pace of more than 7 percent per
annum since 2002 to reach a record level of 1.113 billion tonnes last year. To
meet this rise in demand, steel production growth has accelerated sharply,
reaching 1.24 billion tonnes in 2006, up by as much as 393 million tonnes (or
46%) compared to its level of 850 million tonnes in 2001. This growth in demand
for steel is creating a favourable situation for many steelmakers.
India's rapid economic growth is being built on a frame of steel. Soaring demand
by sectors like infrastructure, real estate and automobiles, at home and abroad,
has put India's steel industry on the world map.
Growth potential: The per capita steel consumption in India is abysmally low at
around 30 kgs as compared to 210 kgs of China and over 400 kgs in the
developed countries. This wide gap in relative steel consumption indicates that
the potential ahead for India to raise its steel consumption is high.
Continued demand: Meteoric rise in steel prices since 2003 until early 2005
helped the domestic steel companies immensely as many of them managed to
reduce their debt burden considerably, helping them either turn into profits or
increase the same significantly. Going forward, the demand for the metal is likely
to sustain on the back of continuing demand from the US and other South East
Asian nations.
PIONEER ENVIRO 2 - 2 Environmental Impact Assessment Report
Laboratories & Consultants Pvt. Ltd.