By Anil Mathews (ScrapMonster Author)
November 06, 2015 04:38:32 AM
BIR forecasts higher scrap imports by India during the months ahead.India’s scrap usage likely to post remarkable growth, says BIR
NEW DELHI (Scrap Monster): The recently concluded Bureau of International Recycling (BIR) Convention held in Prague, Czech Republic noted that scrap usage in India may improve remarkably over the next few years. According to BIR, the country has already given early signs of economic revival. The economic progress in the country may lead to more steel production in the country, which in turn will boost scrap imports.
Among the top ten steel producing nations, only India and Germany recorded year-on-year growth in production during the initial three quarters of the year. The Indian steel production was up 3.1% over the previous year to 67.575 million tonnes during this period. Also, the country emerged as the second largest importer of steel scrap after Turkey during the initial half of the year. Furthermore, India’s Ministry of Steel believes supplementary rise in scrap imports by the country in the next few years.
According to BIR, scrap consumption by the Indian steel sector is expected to rise significantly from current levels of around 32 million tonnes per annum to 56 million tonnes per annum. Also, annual scrap imports by the country are projected to double to 10 million tonnes by 2020. According to industry experts, India’s scrap demand will offset the declining scrap sales to Turkey. Many scrap collectors consider India as their potential scrap outlet, BIR noted.
The scrap imports by India have jumped by almost 30% during the initial six-month period in 2015. The imports totaled 3.168 million tonnes during this period as against the imports of 2.438 million tonnes recorded during the corresponding six-month period in 2014. Meantime, importrs by Turkey dropped by 13% from 6.729 million tonnes during Jan-June ’14 to 8.472 million tonnes during the six-month period in 2015.