The steel sector will play a central role in India’s ambition to become a $5 trillion economy, Union Education Minister Dharmendra Pradhan said while addressing the Steel India 2025 Conference and Exhibition on Friday. Pradhan, who previously served as the Minister of Steel, emphasized the sector’s importance in driving economic growth, job creation, and industrial development.
“As India progresses towards becoming a $5-trillion economy, the steel sector will play a vital role in economic growth, job creation, and industrial development. This is India’s decade to showcase innovation and collaboration across sectors as we work to realise the vision of Viksit Bharat,” Pradhan said.
He also underlined that green steel production is a priority for the government as India seeks to transform industrial sustainability into a competitive advantage globally.
India’s Steel Growth Story
India’s steel industry has mirrored the nation’s broader economic progress, Pradhan noted. The country, which overtook Japan in 2018 to become the second-largest steel producer, has seen rapid capacity growth:
Production capacity has doubled in the past decade, rising from 88 million tonnes in 2014 to over 144 million tonnes today.
India now contributes over 7.5% of global steel output.
Pradhan highlighted the contribution of both public sector enterprises and private players in achieving this growth. States such as Odisha, Jharkhand, Chhattisgarh, West Bengal, and Northern Andhra Pradesh are emerging as regional steel hubs, supported by port infrastructure in Paradip and Dhamra.
The government aims to add 200 million tonnes of new capacity in these regions by 2031, fostering balanced, inclusive, and sustainable development.
Policy Support and the Green Steel Transition
Pradhan credited the National Steel Policy 2017 for setting clear growth targets, including achieving 300 million tonnes of crude steel capacity by 2031. However, he stressed that maintaining momentum will require strategic policy frameworks that balance industrial expansion with sustainability goals.
He announced that work is underway on a proposed ₹15,000 crore Green Steel Mission, focused on:
Supporting R&D and pilot projects
Commercial adoption of clean steelmaking technologies
Integration with the National Green Hydrogen Mission to promote the use of green hydrogen in production
India’s approach aims to build a unique model of sustainable industrialization, balancing scale with stewardship and production with purpose.
Also read: India Targets 300 MT Steel Capacity by 2030
Innovation and the Future of India’s Steel Industry
Pradhan also emphasised the role of education and research in advancing India’s green industrial goals. He expressed optimism that innovation and entrepreneurship would drive the next wave of clean technologies, process innovations, and globally competitive solutions from India.
Large infrastructure projects under initiatives like Make in India, PM Gati Shakti, and the National Infrastructure Pipeline are expected to sustain steel demand, further anchoring the sector’s role in India’s economic transformation.
Strategic investments from both the government and private sector are poised to enhance productivity and competitiveness, potentially enabling India’s steel industry to exceed National Steel Policy targets and set new global benchmarks.
