Govt issues new domestic procurement norms for 49 steel products

06 Jan 2021 Editorial Team

Atmanirbhar Bharat took the next incremental step yesterday, as the government mandated the use of domestically manufactured metal and alloy items. Per this directive, locally made metal products should be preferred in public projects.

Such preference will be accorded to 49 domestically manufactured iron and steel products in public contracts. These products include:

Pipes
Railway coaches
Railway tracks
Containers
Rolling stock
Wires
Tables and household items
Tanks

In essence, this means that project managers need to revise their procurement norms. The norms apply to all central schemes.

The norms will apply to procurement exceeding Rs 5 lakh for local body projects. The government has specified minimum local value addition ranging from 20% to 50%.

“Domestic” will be interpreted on the basis of whether a company is incorporated in India.

Imports are restricted from countries that preclude Indian companies from procurement processes. This could mean a retaliation against countries like China, where Indian companies have complained of unfair treatment. While the World Trade Agreement (WTO) guidelines could see this move as restrictive, India did not sign the public procurement agreement.

Procurement managers, including public ones like the Railways, have previously argued that domestic capacity in steel items is limited. Experts have repeatedly called for domestic capacity augmentation. More immediately, steel prices have been climbing steeply. Some experts say prices will continue to rise for a few months.

Infrastructure Urban

06 Jul 2026

ABS Marine Sees CRISIL Credit Rating Upgrade

ABS Marine Services has secured an upgrade to its long term and short term credit ratings from CRISIL, reflecting improved profitability and revenue growth through long term contracts. CRISIL moved the long term rating from BBB+/Stable to A-/Stable and revised the short term rating from A2 to A2+. The action signals strengthened financial metrics and operational resilience. The company benefited from durable client relationships with firms such as ONGC and Schlumberger. The rating decision followed stronger cash flows and an enlarged bank loan facility, which increased from Rs 3,705 million (m..

Project BRAHMANK Marks 16 Years Of Strategic Roads In Arunachal

Project BRAHMANK is marking 16 years of work to establish strategic road and bridge links across Arunachal Pradesh, maintaining and developing 811 kilometres of roads and nearly 86 bridges that range from small culverts to large steel and arch bridges. These transport links are described as critical for ensuring year-round movement of defence personnel, equipment and essential supplies while improving everyday travel for people in remote villages. The project balances national security requirements with regional development by focusing on reliable access in challenging terrain. Notable enginee..

Longleng CSOs Give One Week Ultimatum Over Two-Lane Highway

Civil society organisations (CSOs) in Longleng district have demanded immediate restoration of the deteriorating Changtongya–Longleng two-lane road and sought a detailed status report on the stalled construction within one week. The demand followed a consultative meeting convened under the Phom Peoples' Council (PPC) to discuss welfare and development concerns. PPC president YB Angam Phom said prolonged non-maintenance had caused hardship to commuters and affected transportation, local commerce and the district's development. The meeting urged authorities to undertake immediate restoration a..