Industry Analysis - SCHM
Industry Analysis - SCHM
Industry Analysis - SCHM
The iron and steel industry in India is among the most important industries within the
country. India surpassed Japan as the second top steel producer in January 2019.
The growth in the Indian steel sector has been driven by the domestic availability of raw
materials such as iron ore and cost-effective labor. Consequently, the steel sector has been
a major contributor to India’s manufacturing output.
The Indian steel industry is modern with state-of-the-art steel mills. It has always strived
for continuous modernization of older plants and up-gradation to higher energy efficiency
levels.
The Indian steel industry is classified into three categories - major producers, main
producers, and secondary producers.
SAIL
Steel Authority of India Limited (SAIL) is a government-owned steel producer based in
New Delhi, India. It is under the ownership of the Ministry of Steel, Government of India.
VISION OF SAIL
To be a respected world-class corporation and the leader in the Indian steel business in
quality, productivity, profitability, and customer satisfaction.
SAIL operates and owns five integrated steel plants at Bhilai, Rourkela, Durgapur, Bokaro,
and Burnpur (Asansol) and three special steel plants at Salem, Durgapur, and Bhadravathi.
It also owns a Ferro Alloy plant at Chandrapur. As a part of its global ambition, the
company is undergoing a massive expansion
SAIL manufactures and sells a broad range of steel products, including hot and cold rolled
sheets and coils, galvanized sheets, electrical sheets, structural, railway products, plates,
bars and rods, stainless steel, and other alloy steels. SAIL produces iron and steel at five
integrated plants and three special steel plants, located principally in the eastern and
central regions of India and situated close to domestic sources of raw materials, including
the
Company's iron ore, limestone, and dolomite mines. The company has the distinction of
being India's second-largest producer of iron ore and of having the country's second-
largest mines network. This gives SAIL a competitive edge in terms of captive availability of
iron ore, limestone, and dolomite which are inputs for steel making.
STRATEGY:
Responsive supply chain
Because it adjusts and responds to changing client requirements, the responsive supply
chain is also known as the Agile supply chain. In other words, we may argue that supply
and demand are in sync. Order fill accuracy, scalable delivery, consistent communication,
and customer satisfaction are all part of the responsive supply chain.
Steel is designed in this business according to customer needs and industry standards, with
regular communication with customers at each stage of the manufacturing process. As a
result, this industry might be described as having a responsive supply chain.
SUPPLY CHAIN NETWORK:
Sustainability:
In its endeavor to strengthen environment management and maintain clean and
sustainable environment in and around its plants, mines & other units are committed to:
Environmental Management:
SAIL plants and units are carrying out all its operations intending to promote clean, green,
and sustainable growth. This commitment of SAIL reflects in the Corporate Environmental
Policy, which advocates to “Integrate sound environmental practices in all its activities”
and to “Contribute towards mitigation of climate change through the adoption of cleaner
and energy-efficient technologies.” SAIL has adopted the latest environment friendly
technologies and implemented robust environment management systems. SAIL has
foreseen and identified key environmental risks and their mitigation strategies, which are
appended below:
Increased global concern for climate change Regular adoption of clean technologies to
prompting adoption of challenging targets by reduce CO2 emissions
the Regulators
Operational and Financial risk to the industry Venturing in environmental protection
in form of carbon taxes, emission caps etc. measures and in the process of fixing up
internal carbon price
Increasing quantity of waste requiring Developing strategies for proper handling,
proper management and disposal recycling, and reuse of waste
Deteriorating air and water quality because Compliance with the norms as well as
of increasing concentration of industries in preparing for beyond compliance scenario
the vicinity
To provide a clean and green environment, SAIL reduces environmental footprint through
efficient operation of its pollution control facilities. All the plants and units put its sincere
efforts towards regular maintenance and consistent operation of pollution control
equipment/ facilities. As a result, particulate matter emission was limited to 0.63 kg/tcs in
the year 2020-21. Emission of SO2 is curbed through use of low Sulphur coal and
desulphurized coke oven gas. For controlling NOx emission, specially designed burners are
installed along with implementation of some process related changes.
Reduction of carbon footprint:
India committed to reduce the emission intensity of its GDP by 33 to 35 percent from 2005
level by 2030. Accordingly, SAIL has fixed up a target of 2.30 T of CO2 emission per ton of
crude steel production by 2030.
SAIL has achieved around 18% CO2 emission reduction during 2020-21 from 2005 level by
adopting an array of clean technologies over the years. The specific CO2 emission during
2020-21 was 2.55 T/tcs.
Water Conservation Measures:
The Company’s environmental policy emphasizes to integrate principle of “reduce, recover,
recycle and reuse” in its operations for conservation of natural resources, including water,
to ensure sustainable future and for continual improvement of environmental performance
by setting challenging targets, transparent reporting system and robust review mechanism.
The setting of target for water consumption is part of the Company’s annual business plan.
All the SAIL plants except CFP draw fresh water required for industrial use from surface
water sources, primarily perennial rivers, because they are located strategically to ensure
availability of surface water. No water was drawn from the areas with water stress. With
the structured management approach, awareness and technological intervention, SAIL has
been able to provide better water resources for industrial as well as human use within its
operations.
Following initiatives for water conservation are adopted across SAIL plants and units:
• Awareness campaigning
• Revamping of localized recirculation systems
• Water auditing by third party
• Online monitoring of quality and quantity of effluent discharged from shops as well
as outfalls
• Rainwater harvesting schemes
• State-of-the-art effluent treatment plants in upcoming units
SAIL has achieved more than 10% reduction in Specific Water Consumption in last five
years. This bears the testimony of the company’s efforts towards efficient water
management, resulting in protection of precious environmental resources.
R&D based initiatives are being adopted either through inhouse research wing or in
association with other research centers or academies of national repute to improve upon
the BOF slag utilization. Some notable amongst the R&D initiatives are given below:
• Utilization of Steel Slag in construction of rural roads under the Pradhan Mantri
Gram Sadak Yojna (PMGSY)
• Development of steels lag-based cost-effective ecofriendly fertilizers for sustainable
agriculture and inclusive growth in association ICAR-Indian Agricultural Research
Institute (IARI)
• Study on use of composite slag (mix of BF slag and BOF slag) for making of Portland
Slag Cement (PSC)
As a result of these concerted efforts, SAIL has achieved 90% utilization of total solid
wastes generated during last year.
REFERENCE:
Mr. Ashwin Amala Ruban .R, Junior Engineer, Bhilai Steel Plant (SAIL).