Final Ppt Steel Project Vishal Dadhich

8/2/2019 Final Ppt Steel Project Vishal Dadhich

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Vishal Dadhich(P1006)Ravi Kumar Swami(P1050)


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Research Objectives: To study the behavior of importers.

To study and identify the opportunity in metalmarket.

To analyses the documentation.

To study the traffics on port.

To identify the challenges in importing of metal


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The research methodology for the project completed in

two phases:

First Phase is the collection of Secondary Data:

This involves the collection of Secondary data using

internet and internal sources. This also involves talking

to managers of the banks and employees who are

working for the banks.


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Second Phase is Collection of Primary Data and

Analysis:

After collecting the Secondary data the next phase will

be collection of primary data using Questionnaires. The

questionnaire will be filled by around 100 respondents

who are the importers of steel. The data collected will

be then entered into SPSS (software) and MS-excel for

analysis of the data collected.


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Descriptive research

The nature of the research will be descriptive in

nature. The sources of information are both primary

and secondary. The secondary data has been taken byreferring to internet and by visiting the yards of the

traders and their websites. The objective of the

descriptive research study is typically concerned with

determining the frequency with which somethingoccurs. A well structured questionnaire will be

prepared for the primary research and personal

interviews will be conducted to collect the responses

of the target population.


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Timeline Top Companies

Size and Composition

Statistics

Growth drivers

Globalization

SWOT Analysis

Government Policies

Foreign Direct Investment

Technology

Privatization

Competition

Future growth and Recommendations


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Future Trends

Post

Liberalization

AfterIndependence

Ancient


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Ahmedabad Steel Craft

Bengal Industries

Bokaro Steel Plant

Central Steel Corporation Essar Steel

Devson Steels

Buyao Info

Jindal Steel & Power

Lloyds Steel

Steel Authority of India

Tata Steel

Vizag Steel


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India is ranked 5th among the top steel producers - 53MT.

The steel industry of India has capital investments of more than Rs

100, 000 crores.

The total employment in the industry is more than 2 million(including direct and indirect employment).

Steel production grew at 1.2 per cent in the January-March

quarter of 2008-09 over the same period last year.

Out of Indias annual iron ore production of more than 200 MT,

about 50 per cent is exported.

Accounts for over 7 per cent of the world's total production.

Accounts for around 5 per cent of the global steel consumption.


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Top Five Consumer Countries of

Steel


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Skilled Human Resources Abundant Iron Ore

Government Policy

Huge Potential for Demand

High GDP growth rate of 8%

1.2 billion population

Low per capita steel consumption of 49kg (World av. 150 kg)

Reserves 10.3 billion tonnes

Stable currency

Easing of regulations

Strong Banking & judicial

system

Growth

factors

Encouraging trade relations with

ASEAN and other countries

Infrastructure building

Exploring new Energy resources

Indian Potential for Steel


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New Policies

Included in highpriority list forForeign Investment

Withdrawal of importand Exportrestrictions

Positive

Outcomes New Channels

Opened

EnhancedEfficiency

National SteelPolicy

Negative

Outcomes Non-Tariff Barriers

Availability ofCheaper Steel


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StrengthsIncrease DemandAvailability of labour at low wageratesHuge Resources Of Raw materialEnvironment laws

Weaknesses

High cost of capital Lack of infrastructure Slow decision making Low labour productivity Insufficient transport system

OpportunitiesHigh potential to be tapped Unexplored rural market Export market penetration Consolidation

ThreatsCheap Imports Slow Industry GrowthTechnological change Price sensitivity and demand volatilityThreat from substitutesHuge bottlenecks in foreign invested

projects

S.W.O.T ANALYSIS


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Industrial and Trade Policy Resolutions in 1991 with regard to the Steelindustry:

Licensing requirement for capacity creation has been abolished.

Steel industry has been removed from the list of industries reserved for the

state sector. Automatic approval granted for foreign equity investment in steel has been

increased up to 74%.

Price and distribution controls were removed from January 1992.

Restrictions on external trade, both in import and export, have been

removed. Import tariff reduced from 105% in 1992/93, to 30% in 1996-97.

Other policy measures like convertibility of rupee on trade account,

permission to mobilize resources from overseas financial markets, and

rationalization of existing tax structure.


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Big Barons like ArcellorMittal and Posco enter India

Investments projected to the tune of US$ 30 billion

Bottleneck:

Why Still they are in slippery ground?


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Reduction in economies of scales

Less capital requirement per tone of capacity

Less operating cost

Improved quality.

Increased labour productivity.

Increased export


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The market share of public sector SAIL has now come down to

around 34 per cent.

The government of India encouraged Tatas, Mittals, Essar and

Jindals to develop and expand their capacity. There was full

autonomy to take decisions by these companies.

Effects:

Increase in profitability.

Improvement in infrastructure. Increase in employment.

Indias emergence as a global player.


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Company Production of Steel(inmillion tonnes)

Market share(inpercentage terms)

SAIL 13.5 32

TISCO 5.2 11

RNIL 3.5 8

ESSAR, ISPAT,JSWL 8.4 19

OTHERS 14.5 30TOTAL 45.1 100

Market Share of Leading Players in Iron and Steel

Industry


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Its predicted that the steel production will double to 120

billion tonnes by 2010 and will become 280 billion tonnes by

2015.

Energy savings potentials.

Environment friendly production- Greenfields


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Further liberalization towards tariff structure, full convertibility

of Indian currency, more equity participation by foreign partners,

rationalization of tax structure etc. will be required.

R&D focus is to be increased substantially.

Firms must do technological forecasting.

Resource utilization must be more effective to improve on theproductivity.

Investment in infrastructure is crucial to step up demand for steel.


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Final Ppt Steel Project Vishal Dadhich

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