Budget FY'25: What does it mean for Indian steel industry?

India's Finance Minister, Nirmala Sitharaman, today presented the Union Budget for fiscal year 2024-25 (FY'24-25).

In the budget, the government has promised to present a detailed roadmap for the pursuit of 'Viksit Bharat'. In line with the strategy set out in the budget, sustained efforts have to be expended on the following nine priorities for generating ample opportunities for all, with infrastructure being one of them.

Click here for detailed report

Budget highlights :

Infrastructure

• Private investments in infra sector will be promoted. The Finance Minister has stated that the government will endeavour to maintain strong fiscal support for infrastructure. This year, INR 11.11 lakh crore has been allocated for capital expenditure, which amounts to 3.4% of India's GDP.
  
  

Power

• The development of indigenous technology for Advanced Ultra Super Critical (AUSC) thermal power plants with much higher efficiency has been completed. A joint venture between NTPC and BHEL will set up a full scale 800 MW commercial plant using AUSC technology.
  
  
• Power projects, including setting up of a new 2400 MW power plant at Pirpainti, will be taken up at a cost of INR 21,400 crore.
  
  

Critical Mineral Mission

• Critical Mineral Mission will be set up for domestic production, recycling of critical minerals, and overseas acquisition of critical mineral assets.
  
  
• Customs duty on ferro-nickel (FeNi) has been reduced to nil from 2.5% previously and duty on ferrous scrap continues to remain nil. Also, import duty on molybdenum ores and concentrates along with vanadium ores and concentrates have been reduced to nil.
  
  

Housing - PM Awas Yojana

• Under the PM Awas Yojana Urban 2.0, housing needs of 1 crore urban poor and middle-class families will be addressed with an investment of INR 10 lakh crore. This will include the central assistance of INR 2.2 lakh crore in the next five years.
  
  
• The government has also announced 3 crore additional houses under the PM Awas Yojana in rural and urban areas in the country, for which the necessary allocations are being made.