Arcelor entry will energise India’s steel sector: Pradhan
KOLKATA: ArcelorMittal’s entry into India through its Rs 42,000-crore acquisition of Essar Steel should ‘energise’ the domestic market, benefiting consumers in one of the world’s fastest-expanding economies that is building infrastructure to underpin its growth ambitions.
“With ArcelorMittal entering India, we expect the domestic steel market to become more competitive, and bring in more innovation and stability,” steel minister Dharmendra Pradhan said Thursday on the sidelines of a conclave in New Delhi. “This will ultimately help consumers.”
ArcelorMittal, the world’s biggest producer of the alloy, is entering India at a time when the sector is going through a lean phase, facing a demand slump. Other steelmakers shared Pradhan’s sentiments about ArcelorMittal’s entry into India.
“Competition is good; it will keep us on our toes,” said Sajjan Jindal, chairman of JSW Steel. Jindal said Indian steelmakers appear to have had a headstart in the local markets since they have been operating here for several years, with a good understanding of local needs.