Govt may modify speciality steel PLI scheme; extends application last date till April 30

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There will be certain additions in the modified scheme, which are underway, he said. Explaining the rationale behind the move, he said the step has been taken on the request of steelmakers, who had raised certain concerns over the scheme.

”We are working on a uniform incentive for the production of speciality steel. More grades, especially those used in the defence sector, will be added to the scheme. Cap on production is also one area we are looking at,” he said on the possible changes in the modified scheme. The initial scheme included five categories of speciality steel — coated/plated steel products, high strength/wear-resistant steel, speciality rails, alloy steel products, steel wires, and electrical steel.

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Industries like automobiles, electrical, defence and pipes are consumers of these steel grades. Earlier, speaking with PTI, Minister of State for Steel Faggan Singh Kulaste said he was confident of a huge number of domestic and internal players coming forward to avail of the scheme's benefits and invest in India to produce speciality steel.

Kulaste had also said that increasing per-capita steel consumption and the production of special steel, as well as enhancing raw material security, will remain the key focus areas of the government in 2022.

The government aims to save Rs 33,000-crore foreign exchange (forex) that goes out of India annually to import speciality steel.