New Delhi, June 15 : Union Steel Minister Ram Vilas Paswan has said that steel production in India will achieve 124 million tons of steel capacity by 2011-12, which would be more than the domestic requirement leading to relenting pressure on its alloy prices.
He said that India's requirement would be around 110 million tons at that point of time, a local news agency reported.
Steel prices have shot up by over 50 per cent since January with a seven-year high inflation of 8.75 per cent.
The annual demand for steel in India has been rising by about 13 per cent, but production is growing by over six per cent, according to sources.
The country's crude steel production was 53.9 million tons last fiscal year and out of it about 5 million tons were exported. India imported nearly 7 million tons of steel.