According to government sources, the Center is considering broadening its strict quality standards in response to an increase in the influx of substandard steel, primarily from China.
This decision comes after the Ministry of Steel conducted a thorough review in early October, which revealed growing concerns about the sector's exposure to global trade diversions.
India’s Steel Imports
India became a net importer of steel during the first five months of the current fiscal year. According to official data, the country imported 3.45 million metric tons (mmt) of steel while exporting 1.92 mt, the report stated.
Imports are increasing as global producers seek new markets due to weak demand and high tariffs imposed by the United States and the European Union. The report states that these conditions have increased the risk of steel dumping into India.
Improving Quality Control Measures.
The government's tightening of quality controls is viewed as a way to stem the flow of steel imports. Currently, various grades of steel can be imported with a no-objection certificate (NOC) from the steel ministry, despite existing quality control orders (QCOs).
According to the report, officials have stated that in the future, NOCs will only be issued for steel grades that are not manufactured locally. This action is anticipated to address the steel imports that do not meet Bureau of Indian Standards (BIS) requirements.
Although 1,279 steel grades have been given norms by the steel ministry under 151 QCOs, up to 1,127 grades have been permitted entry into the nation with NOCs. According to the report, officials have stated that this gap will be closed shortly by expanding QCOs to include a greater range of steel grades.
Every year, India imports about 400,000 metric tons of non-BIS-compliant steel, worth about Rs 4,200 crore. In October of last year, the government had already ordered that any steel import that was not authorized by BIS must first obtain approval from the steel ministry, in an effort to stop the entry of substandard steel.
If you want to buy bulk construction commodities, such as to buy steel in bulk or to buy cement in bulk for private or government work, then Tradologie.com is the right platform for you.
Tradologie.com is the world’s first digital platform through which one can procure multiple construction commodities in bulk such as steel, cement, plywood, etc., directly from manufacturers and brands at the best price and assured qualities.
To register as a buyer, click here. To register as a seller, click here.
To stay updated with the latest happenings in the agro-trade industry, follow
Tradologie.com across all social media channels.
REFERENCE- business-standard.com