A STUDY ON COMPETITIVENESS OF INDIAN STEEL

INDUSTRY ISSUES, CHALLENGES AND ROAD AHEAD

WITH SPECIAL REFERENCE TO UTTAM GALVA
STEELS LTD. BANGALORE

UNDER THE SUPERVISION OF BY

NAGALAKSHMI.K.N
INTRODUCTION:

Steel industry plays a significant role in the country’s economic

growth and forms the backbone of every industrial economy.

Steel finds its extensive application right from construction,

infrastructure, power, automobile, aerospace, transportation,
industrial applications and machinery to consumer products etc.

Steel industry accounts for almost 2 percent of India’s GDP it has

grown exponentially over the past few years to be the third largest
producer of steel and a major consumer of steel in the world.

However, the steel sector is currently going through very tough

times The steel producers are also facing challenging financial times,
reflected in negative profit growth rates and it accounts for almost
22% of the total debt in India
WHY THIS TOPIC:
The main objective of this study is to find out the
impact of the new economic policies popularly
known as liberalisation policies on Indian steel
industry.

This study will consider the development and

progress of the different aspects of steel sector like
production, consumption, import, export,
comparative advantages etc. in the post-
liberalisation regime and made a comparative study
with pre-liberalisation regime and global steel
sector as well
 NEED OF THE STUDY

The study will also explore the various dimensions

of the process that seem essential to anticipate the fast
pace of change in the environment and respond
adequately to enable the company to achieve its goals.

An attempt has also been made in this study to

ascertain reasons of the change process started by the
Steel Authority of India Limited after liberalization of
the Indian economy, and to see whether the company
was able to adapt itself to the total changed scenario.
SCOPE
India is expected to befall Japan to become the world's second
largest steel producer soon. The National Steel Policy, 2017, has
conceived 300 million tonnes of production capacity by 2030-31.
In 2018, steel consumption of the country is expected to grow 5.7
per cent year-on-year to 92.1 MT*. Further, India is expected to
outdistance USA to become the world’s second largest steel
consumer in 2019*.

Huge scope for hike is offered by India’s comparatively low per

capita steel consumption and the expected rise in consumption
due to increased infrastructure construction and the thriving
automobile and railways sectors.
CURRENT RELEVANCE TO THE TOPIC

Even though the India's National Steel Policy 2017 has

formulated new policies, to be global competitor, to
overcome the issues and challenges that the Indian steel
companies are facing, the Government and the Indian Steel
industry including public and private sectors need to
consider these issues seriously and the global situation to
articulate a new direction for the steel industry to be the
global competitor.
INTRODUCTION TO FIRST CHAPTER

India was the world’s 3rdlargest steel producer@ and

third-largest steel consumer in 2017. The sprouting in the
Indian steel sector has been driven by domestic
availability of raw materials such as iron ore and cost-
effective labour. Therefore, the steel sector has been a
major contributor to India’s manufacturing output.

Market Size
Investments
Government Initiatives
BOOKS
Dunning John H. (1981), “International Production and Multinational Enterprises”,
Allen and Unwin, London.
Fabricant, S. (1973), “A Premier on Productivity”, Prentice Hall of India, New Delhi.
Ferguson, Paul R. (1988), “Industrial Economics: Issues and Perspectives”, Macmillan
Education Ltd.

WORKING PAPERS

Copeland, Adam; Wendy Dunn and George Hall (2005), “Prices, Production,
andInventories Over the Automotive Model Year”, Corporate Capital Structures in the
UnitedStates, NBER Project Report, pp.301-324.
Cororaton, C.B. and M.T.D.Caparas (1999), “TFP: Estimates for the Philippine
Economy”, Philippine Institute for Development Studies, Discussion Paper Series No.
99-06.

WEB:
HTTPS://STEEL.GOV.IN
HTTPS://WWW.INDIA.GOV.IN/OFFICIAL WEBSITE-MINISTRY-STEEL
HTTPS://WWW.SAIL.CO.IN
HTTPS://WWW.M.MONEYCONTROL.COM
 PLAN OF ACTION

WEEK 18-02-2019 to Literature Review

1 24-02-2019
WEEK 25-02-2019 to Preparing Questionnaire
2 03-03-2019
WEEK 04-03-2019 to Framing Sampling
3 10-03-2019 Techniques
WEEK 11-03-2019 to Collecting Data
4 17-03-2019