New Delhi — Investments under the Production-Linked Incentive (PLI) scheme for specialty steel have reached ₹23,022 crore as of October 2025, the government informed Parliament on Tuesday.
Minister of State for Steel and Heavy Industries Bhupathiraju Srinivasa Varma told the Lok Sabha that the scheme—approved by the Union Cabinet in July 2021 with a budget allocation of ₹6,322 crore—continues to boost the domestic production of advanced and value-added steel.
Hydrogen Use in Steelmaking Under Trial
The minister further stated that the government is running a pilot initiative for hydrogen-based steelmaking under the National Green Hydrogen Mission.
So far, four pilot projects have been awarded in the steel sector to assess the viability of hydrogen as a cleaner alternative to conventional fuels.
Ensuring Raw Material Availability
Varma added that India periodically revises basic customs duties on raw materials like scrap to ensure they remain competitively priced for domestic steelmakers, including those operating in Rajahmundry and nearby regions.
He noted that during 2024–25, there were two steel rolling mills in East Godavari and nine in Visakhapatnam district, falling within the Rajahmundry constituency’s vicinity.
The Steel Scrap Recycling Policy, 2019 also streamlines coordination between ministries to promote efficient recycling of ferrous scrap generated across sectors.
Third Round of PLI Launched
In early November, Union Steel and Heavy Industries Minister H.D. Kumaraswamy launched the third round (PLI 1.2) of the incentive scheme, intended to attract fresh investment in high-tech and emerging steel categories such as:
- Super alloys
- Cold-rolled grain-oriented (CRGO) steel
- Stainless steel (flat and long products)
- Titanium alloys
- Coated steels
This phase is expected to significantly expand India’s advanced steel manufacturing capacity, boost exports, and strengthen the country’s position in the global specialty steel value chain.
Total Investment Commitments Rise to ₹43,874 Crore
According to official data, the PLI scheme has so far attracted total investment commitments of ₹43,874 crore, which are projected to:
- Create 30,760 direct jobs, and
- Produce 14.3 million tonnes of specialty steel.
With inputs from IANS