India is working to reduce its reliance on imported scrap. The country currently imports 25% of its scrap needs, largely from the automotive sector. To address this, the Ministry of Steel is exploring ways to increase domestic scrap production.
India’s Focus on Scrap Supplies
India’s Ministry of Steel is taking steps to increase domestic scrap production. The government is considering forming a permanent interdepartmental body. This body would coordinate efforts across industries to boost scrap generation. The focus is to diversify the sources of scrap, particularly beyond the automotive industry, which is the primary source.
Government Incentives and Sector Expansion
Currently, government regulations encourage vehicle owners to scrap old vehicles. These incentives have helped boost scrap supplies from the automotive sector. Now, India plans to extend these incentives to other sectors, like engineering and consumer goods. This could further increase scrap availability.
Recycling Potential in India
Experts argue that India should focus on improving recycling, especially in consumer goods and ship dismantling. Sanjay Mehta, President of the Materials Recycling Association of India, pointed out that recycling more consumer goods is essential. Additionally, Akshaya Gujral from ArcelorMittal Nippon Steel India highlighted the potential of ship dismantling centers to boost scrap production.
Strategic Movements Amid Export Restrictions
India’s push to increase domestic scrap production comes amid proposals to restrict scrap exports, particularly to the European Union. These export restrictions could secure more scrap for domestic industries. As a result, India could become less reliant on imports in the future.
Conclusion
India is actively working to reduce its dependence on imported scrap. By encouraging recycling in more sectors, the country aims to boost domestic scrap production. These efforts will strengthen India’s steel industry and improve its scrap procurement base.
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