Supply chain summit explores actionable strategies to navigate global uncertainties

• Indian steel demand set to grow 7%, driven by infra, housing
  
  
• Green steel, MSME support, value-added products growth levers
  
  
• Supply chain alignment essential to overcome challenges
  
  

The India Steel Supply Chain Summit 2025 (ISSCS 2025), held on April 17-18 and organised by BigMint in partnership with Quesrow, brought together infrastructure and construction industry stakeholders to address India's rising steel demand. Driven by rapid growth in infrastructure, renewables, and strategic sectors, discussions focused on bridging raw material gaps, strengthening supply chains, and expanding exports to enhance India's global steel leadership and economic resilience.

The session on "Indian Steel & Demand" unpacked the dynamics behind this surge spanning construction, housing, automotive, and Defence and explored actionable strategies to navigate global uncertainties and drive sustainable growth.

Key takeaways

Indian steel industry

1. Current state and outlook

The Indian steel sector shows strong growth potential, driven by infrastructure, housing, and automotive demands. Despite lower per capita consumption compared to advanced economies, demand is expected to rise by over 7% annually, necessitating increased capacity. This has led to steel players focusing on green steel manufacturing.

2. Role of infrastructure and construction

Construction consumes nearly 70% of India's steel, with government projects like the National Infrastructure Pipeline boosting demand. Efficient project execution is crucial to sustain this growth.

3. Challenges and opportunities

The industry faces challenges in data credibility and the prevalence of concrete over steel in construction. Promoting steel as a green, recyclable material and addressing labour shortages are key opportunities.

4. MSME sector and value-added products

MSMEs are vital to India's manufacturing, and their needs for working capital and financing must be met. Increasing the production and acceptance of value-added steel products, particularly in the automotive sector, is important, though there's resistance in construction due to cost and perceptions.

5. Strategic alignment and policy recommendations

The steel industry needs better supply chain alignment and product innovation. Policy support is crucial to promoting steel use and address skill and capacity challenges.

Conclusion

The Indian steel industry is poised for robust growth, driven by infrastructure, housing, and automotive demand. With projected 7% annual growth and rising focus on green steel, capacity expansion is key. Addressing challenges in construction practices, MSME support, and labour availability, alongside strategic policy alignment, will be crucial for sustaining momentum and tapping into domestic and export opportunities.