Steel consumption growth softened in April-August

Bengaluru : Thursday, Sep 8, 2011,6:00:Amidst all the brouhaha around the ban on iron ore mining in Karnataka and a consequent drop in steel production, one trend that has gone largely unnoticed is a steady drop in steel consumption, too.

While some might argue that it is a seasonal phenomenon and that consumption will rebound in the festive season starting next quarter, the latest numbers from industry body Joint Plant Committee (JPC) show that between April and August, India’s apparent steel consumption rose by a mere 1.2 compared with a 9.9 rise in production.

Total saleable steel production during the five months stood at 29 million tonne (26 million tonne), while total consumption was at 29.7 million tonne (29.3 million tone).