New Delhi: Minister of Petroleum and Natural Gas and Steel Dharmendra Pradhan has stressed on enhancing domestic steel usage in the country and reducing import dependence for meeting the oil and gas sector's steel requirements. Addressing a webinar on 'Atmanirbhar Bharat: Fostering Domestic Steel Usage in Oil & Gas Sector' on Tuesday, Pradhan said that the steel and oil and gas sectors have close linkage, and it is time to take it to a new pedestal.
Commenting on the oil and gas sector, the minister said that it has seen tremendous transformation over last six years on the back of pro-investment policies. The sector is undergoing tremendous growth, be it in refineries, pipelines, gas terminals, storage capacity, gas cylinders, retail outlets, and all these require large amounts of steel. "The oil and gas sector is one of the largest end-users of steel pipes and tubes, with pipeline being the major mode of transport for petroleum, oil and lubricant products. The expansion of city gas distribution network to cover 70 percent of our population, refining capacity augmentation, plan to setup 10,000 CNG stations, E&P activities — all will drive steel demand in the sector," he said.
Urging all the organisations in the oil and gas to procure domestic steel rather than importing them, Pradhan said that the domestic steel manufacturers have all the capabilities to cater to the future requirements for steel in the sector. Meeting steel demand domestically and reducing import dependence will significantly enhance employment opportunities in the sector and would also give a boost to the growth of MSMEs in steel sector and lead them to produce more value-added products.
Referring to Prime Minister Narendra Modi's call for an Aatmanirbhar Bharat, Pradhan said that Aatmanirbhar Bharat is a strong Bharat with robust manufacturing sector, self-reliant yet globally integrated economy. Having strong linkage with the sectors like construction, oil and gas, automobiles, machinery, among others, the Indian steel sector has got a fundamental role to play in realising India's dream of becoming Aatmanirbhar Bharat. He said that the Indian steel sector can strive to be a major player at the global stage, only after it fulfills all the domestic requirements. "Domestic players should rise to the occasion so that cost does not escalate in our efforts to promote localisation of supply chain," said the minister.
Speaking on the occasion, the Minister of State for Steel Faggan Singh Kulaste said that both the steel and oil and gas sectors are important pillars of the Indian economy and both have an important role to play as India moves towards $5-Trillion economy. He called upon the industry to overwhelmingly adopt indigenous products, and contribute to the nation's development.