New-York:

M. Mehta, Scecial Correspondent, redaktion@stahleisen.de

While many steel producers in developed countries face all kinds of economic uncertainties affecting their business – ranging from the debt crisis in the United States through the tumultuous Eurozone crisis to fluctuating prices inthe global markets – and have put on hold much of their investment activities, India’s steel industry is bullish about the future. India’s steel industry is propelled by strong demand from a number of steel-consuming industries such as construction, automobile, infrastructure, etc. Demand for steel, many experts say, will growat impressive rates and Indian steel manufacturers will try to exploit the situation by raising prices in the coming months, as a number of infrastructure and industrial projects get under way. A recent report compiled by the Centre for Monitoring Indian Economy suggests that steel pricesin 2012/13 will rise by 7 % over the previous 2011/12 fiscal year. Indeed, steel prices surged 15 % in the second quarter of the current year. Strong economic growth and urbanizationin India are expected to generate increased demand for steel. Tata Steel, India’s biggest steel producer, recently stated that steel demand for the entireyear would grow by 9 %. It is concluded that there are good opportunities for national steel industry in India though iron ore supplies could pose a problem for this industry.