On the back of the Government of India’s push for infrastructure and the keenness exhibited time and again by the ruling party to put India on the path of rapid infrastructural development, the demand for steel in the country is expected to go up by 7% in the coming fiscal year.
Much depends of course, on the union budget for 2019-20 to be presented this July, about how much of focus and investment is actually allotted to infrastructure in the coming year. The outlook however, appears positive and the predictions are all for a smooth sail.
In the last fiscal year, the domestic steel demand slowed down, owing majorly to the weakness in the auto sector due to rising fuel prices. Also coupled with it is the fact that not many construction activities took place during the period leading upto the general elections.
The construction sector is expected to lead the industry to a significant growth in the second half of FY20, assuming a huge investment boost by the Govt of India. Also to be noted is that steel companies have benefitted from the glut in iron ore supply especially due to the ramping up of mining activities in major states.
The opportunity for growth in the country is immense for steel, as the development and urbanisation happens at a rapid scale. Steel, with its hoard of advantages in terms of saving space and time of construction, with tall buildings erected sooner in lesser area, comes handy in the construction industry.
Volta Green Structures has been at the forefront, spearheading the steel construction activities in India, having worked on multiple projects across the country both in the private and public domain. As the country awaits the first Union budget by the reelected government, Volta Green Structures look forward to it, all ready to put India back on track in its demand and utilisation of steel and furthermore, in developing the infrastructure right.
