Steel stocks in focus on National Steel Policy

The government has approved National Steel Policy 2017, on Wednesday. It is the policy which will give preference to locally manufacturing steel & iron products for government procurement.

Under the policy, Indian steel makers who import raw materials or intermediate products can claim the benefits of the domestic procurement provision if they add a minimum of 15 per cent value to the product.The supportive mechanism for domestic steel producers will benefit in future.

The National Steel Policy 2017 aims to make India self-sufficient in steel production. It projects crude steel capacity of 300 million tonnes (MT), production of 255 MT and per capita consumption of 158 kg of finished steel by 2030-31, against the current consumption of 61 kg. It also sees an increase in domestic availability of washed coking coal so as to reduce import dependence on coking coal from about 85 per cent to around 65 per cent by 2030-31.

Steel manufacturing companies remain on focus on Thursday morning. The share prices of these companies trading in green in the first half of May 4.

Steel Authority of India (SAIL): 1.39 per cent

JSW Steel: 0.91 per cent

Tata Steel: 0.53 per cent