According to a senior executive at mining major BHP, India aims to increase its steel production to 500 million tonnes by 2050 nearly four times its current output. BHP, as a major supplier of met coal used in steel production, plays a crucial role in India’s steel industry with about 36% of India’s demand for met coal coming from them.
This relationship is seen as symbiotic and vital for both India and BHP. India’s National Steel Policy plans to scale steel production to 300 million tonnes by 2030, and even with some adjustment india could potentially produce around 240 million tonnes in eight years, which is double its current capacity. The executive believes this growth is just the beginning for India’s expanding economy.
According to a senior executive at mining major BHP, India’s steel production could increase to 500 million tonnes by 2050 four times its current output. The growth is fueled by New Delhi’s ambitions for rapid capacity expansion in the steel industry to support economic growth.
BHP, being a major supplier of met coal is seen as a crucial partner for India’s steel mills as the country is entirely dependent on imports for this raw material. BHP supplies about 36% of India’s demand for met coal making it a significant player in the Indian market. The company considers India as one of its top three customers and sees it as a promising growth market.