₹27,106 Crore Investment Planned Under PLI Scheme for Specialty Steel

New Delhi, Feb 7 (NationPress) The Production-Linked Investment (PLI) scheme aimed at high-value specialty steel has successfully garnered investment commitments from various companies totaling ₹27,106 crore, with ₹18,848 crore achieved by December 2024, as reported by the Minister of State for Steel, Bhupathiraju Srinivasa Varma, during a parliamentary session.

The production of specialty steel reached 12,58,000 tonnes by December 2024, the minister detailed in a written response to a query in the Rajya Sabha.

The PLI scheme for specialty steel was initiated to attract investments that can enhance the production of value-added steel within the nation.

This scheme encompasses five major product categories, including Coated Steel Products, High Strength Steel, Specialty Rails, Alloy Steel Products, and Electrical Steel.

The second phase of the scheme was launched on January 6, 2025, and falls within the overall budget allocated for its execution.

To promote broader participation in the second phase, regardless of company size, a specialized web portal for PLI scheme 1.1 has been introduced, and extensive media outreach has been conducted, as stated by the minister.

Regular webinars are being organized for companies expressing interest in joining the scheme.

Participation rules have also been relaxed, allowing for up to 50 percent of investment in instances where companies enhance their existing facilities to qualify for the designated sub-categories, the minister highlighted.

The government has implemented numerous measures to foster a supportive policy environment for the steel sector, including the promotion of 'Made in India' steel through government procurement.

To enhance raw material accessibility and lower costs for specialty steel, the government has reduced the Basic Customs Duty on Ferro Nickel from 2.5 percent to zero, making it duty-free, and has extended the duty exemption on ferrous scrap until March 31, 2026, the minister elaborated.

Furthermore, measures for monitoring and quality control of imports are being enforced to prevent the dumping of low-cost products by foreign companies.

Revamping of the Steel Import Monitoring System (SIMS) has also been undertaken for effective import oversight, providing detailed insights on imports pertinent to the domestic steel industry.

Steel Quality Control Orders prohibiting sub-standard steel products in the domestic market and imports have also been issued to guarantee the availability of quality steel for industries, consumers, and the general public, while promoting specialty steel production, the minister concluded.