Why in news
- Government unveiled a new draft National Steel Policy targeting 604 million tonnes of total steelmaking capacity by 2047.
- The draft policy sets long-term export targets alongside decarbonisation and technology indigenisation strategies.
Key terms
Green Steel
Steel manufactured without fossil fuels, using green hydrogen or renewable energy in place of coal.
Crude Steel
The first solid state of steel produced during the steelmaking process before shaping into finished products.
Technology Indigenisation
Developing and manufacturing domestic technologies to reduce reliance on imported equipment.
Scrap-based Steelmaking
Producing steel using recycled scrap metal in Electric Arc Furnaces to lower carbon emissions.
Core Targets and Production Goals
- Expansion of domestic crude steel capacity to 604 million tonnes by 2047.
- Scaling up steel exports to reach 45 million tonnes within two decades.
- Creation of robust logistics corridors and infrastructure support to transport raw materials and finished steel products.
Sustainability and Technology Strategy
- Focuses on reducing carbon emissions per tonne of steel produced through green hydrogen adoption and scrap-based steelmaking.
- Promotes research and development for domestic indigenisation of heavy plant machinery and manufacturing technology.
- Mandates enhanced occupational safety standards and skilled workforce development.
Prelims facts
- India is currently the second-largest producer of crude steel globally after China.
Mains discussion
- Examine the policy measures required to transition India's carbon-intensive steel industry toward green steel manufacturing.
Source: Economic Times
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