India prepares PLI phase 2 for steel sector growth

10 Aug 2023 CW Team

The Indian government is actively developing a follow-up to the performance-linked incentive (PLI) program aimed at the steel sector, with a primary emphasis on import substitution. Nagendra Nath Sinha, the steel secretary, revealed that the steel ministry is poised to introduce "PLI-2," which will address the specific requirements of sectors like the Indian Railways.

During the initial phase of the PLI scheme, companies committed to investing ₹2.953 billion, resulting in a downstream capacity increase of 24.78 million tonnes. The government has allocated ₹6.32 billion for providing incentives to the steel industry through the PLI initiative.

Anticipating visible results from 2026, Sinha responded to queries about the demand for steel products by the Indian Railways and the necessity for imports to fulfil these needs. To cater to the railway's special grade requirements, agreements have been inked by the Steel Authority of India Ltd (SAIL) for asymmetric and hardened rails.

SAIL, a state-run enterprise, currently fulfils the entire demand for R-260 grade steel rails of the national transporter. Furthermore, the introduction of a new head-hardened rail grade, R-350/1175, is projected for 2023, enhancing train speed. Despite its crucial role in infrastructure development, the domestic steel sector encounters rail rake shortages during peak power demand months due to coal transportation.

In response, the steel secretary outlined new initiatives aimed at improving freight traffic and addressing the steel sector's needs. Over 2,000 wagons are being introduced monthly to enhance wagon availability. Additionally, newer steel grades for containers, authorized by the Bureau of Indian Standards, have been embraced by leading steel producers such as SAIL, Tata Steel, and JSW Steel.

The PLI-2 initiative aligns with India's strategic intent to bolster domestic manufacturing, reduce imports, and advance self-reliance in critical sectors.

Infrastructure Urban

06 Apr 2026

CFI Appoints New National Council for FY27 and FY28

The Construction Federation of India (CFI) has announced its newly elected National Council and office bearers for a two-year term covering FY27 and FY28. M. V. Satish, Advisor to CMD and Lead Ambassador for Middle East, L&T, has been elected President; Priti Patel, Chief Strategy & Growth Officer, Tata Projects, has been appointed Vice President; and Ajit Bhate, Managing Director, Precast India Infrastructures, has taken charge as Treasurer.The newly formed National Council brings together senior leaders from major EPC and infrastructure companies, reflecting CFI’s continued focus o..

India REIT Market Gains Momentum with Strong Returns

India’s Real Estate Investment Trust (REIT) market is witnessing strong growth, emerging as a competitive investment avenue both domestically and across Asia. According to a recent ANAROCK report released at EXCELERATE 2026 by NAREDCO Maharashtra NextGen, the sector is evolving into a mature asset class driven by solid fundamentals, regulatory backing and rising investor confidence.The introduction of Small and Medium REITs (SM REITs) in 2025 has further widened access through fractional ownership, unlocking a potential monetisation opportunity of Rs 670–710 billion. Indian REITs have deli..

G R Infraprojects Secures Rs 4,130 Million BESS Contract From NTPC

G R Infraprojects said it has secured a contract from NTPC to supply and implement a battery energy storage system (BESS) valued at Rs 4,130 million (mn). The company reported the order was awarded as part of NTPC's ongoing efforts to enhance grid flexibility and energy storage capacity. The contract represents a notable addition to the firm's project pipeline and underscores demand for utility scale storage solutions. The award is expected to strengthen G R Infraprojects' presence in the energy infrastructure sector and to contribute to the firm's order book and future revenues, subject to st..