India’s consumption of stainless steel has witnessed a notable increase in recent years, marking a positive trend for the country's industrial and economic growth. According to the Indian Stainless Steel Development Association, consumption has risen from 4.02 million metric tons in the financial year 2023 to 4.46 MT in FY24, reflecting an 11% growth over the previous year. This increase highlights the growing preference for stainless steel across key sectors such as infrastructure, processing, and railways, which value its durability, corrosion resistance, and sustainability properties.
In addition to the overall consumption increase, India’s per capita consumption of stainless steel has also seen an upward shift. The per capita consumption was 2.25 kilograms in FY19, and this number has risen to 3.1 kg in FY24. While this marks a healthy improvement, India’s per capita consumption still lags behind the global average of 6.5 kg. The rising use of stainless steel reflects its increasing adoption in critical sectors that are integral to India’s infrastructure and industrial development. This includes its use in buildings, railways, machinery, and manufacturing industries, where stainless steel’s resistance to wear and tear makes it an ideal material.
India’s stainless steel industry has also seen diversification over the past two decades, with demand expanding across multiple sectors. This growth in consumption is expected to continue, supported by India’s ambitious economic goals.
According to ISSDA President Rajamani Krishnamurti, research in collaboration with Crisil projects India’s stainless steel consumption to reach 12.5 to 12.7 million metric tons by FY2040 and 19 to 20 million metric tons by FY2047. This is in line with India’s aspirations to become a USD 40 trillion economy by 2047, with key sectors like construction, infrastructure, and manufacturing expected to drive stainless steel demand.
Despite these optimistic projections, the stainless steel industry in India faces significant challenges, particularly from the import of substandard stainless steel, primarily from China. Krishnamurti noted that the continued dumping of inferior steel products at low prices has adversely affected domestic manufacturers. These cheaper imports undermine the competitive pricing of locally produced stainless steel, which is often of higher quality but at a higher cost. This has been one of the primary concerns of the Indian stainless steel sector, as it hampers the growth potential of domestic manufacturers.
