November 20, 2008

Indian refractory makers gearing to match steel expansion plans

It is reported that Indian Refractory Makers Association has urged the union ministry of steel to consider the domestic refractory industry as a strategic partner in future development of steel industry in India.

Mr AK Chattopadhyay chairman of Indian Refractory Makers Association, while addressing the association’s annual general meeting, said that “Steel cannot be produced without proper refractory lining and in turn the refractories industry depends heavily on the steel industry for the bulk of its production.”

He added that steel is accepted as one of the sinews of economic development and it would be in the fitness of this that the strength and vitality of the domestic refractories industry should be built into the sinews. Mr Chattopadhyay said that “Instead of keeping us always at an arm’s length just as one of the many suppliers it would be important for the steel industry to factor in the contribution of refractories to higher efficiency and productivity as it faces the changes in global market for steel. This is well within our limit of 2 million tonnes even allowing for the expansion of cement, aluminum and such other industries.”

As per report, India will require 0.9 million tonnes of refractories based on a specific rate of consumption of 13 kilogram per tonne of crude steel produced if the target of 70 million tonnes of steel capacity by 2012 is to be met.

Mr Drona Rath CMD of Mecon however pointed out that globally refractories capacity is 50 million tonnes compared to 1.5 million tonnes in India. He urged the industry to gear up to face the increase in steel capacity.