Under its National Steel Policy — Vision 2047, the government has forecast finished steel consumption climbing to 505 million tonnes by that year, a level that would require crude steel production capacity of 604 million tonnes. The policy also sets out to reduce reliance on imported raw materials and move the sector toward cleaner manufacturing methods.

Crude steel output by domestic producers climbed from roughly 89 million tonnes in 2014-15 to 170 million tonnes by 2025-26, while demand for finished steel across the same period moved from 77 million tonnes up to 164 million tonnes. Between 2014 and 2025, the country's share of worldwide crude steel output nearly doubled — rising from 5.2 per cent to roughly 8.9 per cent — as installed production capacity reached 220 million tonnes per annum.

Under the policy's long-range framework, per capita steel consumption is forecast to reach 302 kg while outbound steel shipments are projected to climb to 45 million tonnes by 2047. Steel used in construction and infrastructure accounts for roughly two-thirds of domestic demand, while automobiles, engineering goods, appliances, and packaging together make up a further 28 per cent.

Imported raw materials, which account for somewhere between 65 and 70 per cent of steelmaking costs, have made reducing that reliance a central objective of the policy. Domestic iron ore production covers nearly all of the country's steelmaking needs, yet coking coal — the other key ingredient — is sourced from abroad for roughly 92 per cent of demand.

Four pillars underpin the plan: broadening domestic mining operations and coal washery capacity, purchasing energy assets abroad, locking in supply arrangements over the longer term, and deploying artificial intelligence to fine-tune how coal blends are composed. Manganese, limestone, and a range of other inputs deemed necessary for production fall within its scope as well.

Roughly 2,550 facilities making up the secondary steel sector — a segment accounting for close to 47 per cent of the country's crude steel output capacity — are set to receive assistance covering technology upgrades, access to raw materials, workforce skills development, and safety improvements.

India's steel industry accounts for between 10 and 12 per cent of the country's carbon dioxide output, releasing roughly 2.54 tonnes of CO₂ for every tonne of crude steel produced — a rate approximately a third above the worldwide average of 1.92 tonnes. Four levers — energy efficiency, renewable power, expanded scrap use, and hydrogen — form the backbone of a staged plan to reach net zero by 2070.

Among its further aims, the plan covers the building out of scrap-processing facilities, the development of home-grown technology, and the reinforcement of domestic output in specialty and stainless steel grades. Proponents argue that deploying artificial intelligence in import oversight, alongside trade-remedial tools, could reduce the volume of steel entering the market below accepted quality thresholds, though the outcome remains to be demonstrated.

Among the measures put forward are a dedicated Steel Industry Safety Council, regular assessments to identify gaps in workforce skills, and investment in upgraded training institutions to strengthen both industrial safety and the capabilities of workers in the sector.