Green practices in India's steel industry

India’s steel industry is embracing sustainability through recycling, waste heat recovery, water conservation, and renewables—driving green growth without compromising competitiveness.

- BY Harsh Bansal, Managing Director of BMW Industries

As the backbone of India’s infrastructure and manufacturing sectors, steel plays an essential role in driving the country’s growth. But along with growth comes responsibility. The steel industry is one of the most resource-intensive sectors globally, consuming large amounts of energy and water, and generating significant emissions. However, the landscape is changing rapidly. Today, sustainability is not just a buzzword. It’s a business priority.

India’s steel industry is steadily adopting greener practices, blending traditional manufacturing strength with modern environmental responsibility. This shift is crucial for meeting global climate goals and ensuring long-term competitiveness in both domestic and international markets.

Why sustainability matters in steel manufacturing

India is already the second-largest steel producer in the world, contributing around 7% to global steel production. According to the World Steel Association, the country produced over 125 million tonnes of crude steel in 2023, and demand is expected to rise steadily over the next decade. With this growth, the industry's energy use and carbon footprint naturally become areas of concern.

Globally, steel production accounts for about 8% of total CO₂ emissions. In India, efforts are underway to reduce this impact. The government's National Steel Policy (NSP) 2017 has set ambitious goals for achieving sustainable growth in steel production aiming to reach 300 million tonnes of production capacity by 2030 while reducing energy consumption and emissions per tonne of steel produced.