Steel types and supply base to be broadened
Steel

Steel types and supply base to be broadened

The Ministry of Road Transport and Highways (MoRTH) has issued orders that all types of steel can be used for national highway construction given they pass the required quality tests.

With this move, the ministry aims to increase the steel supplier base and potentially lower the input cost of raw materials in the backdrop of rising steel prices.

Official sources told the media that earlier, the contract provisions required the use of steel produced by primary integrated steel producers only.

The ministry, in an official release, said all kinds of steel whether produced from ore, pellets, billets or melting of scrap, will be allowed to be used for the construction of national highways, as long as it meets the standards required for specific grades of steel.

The steel proposed to be used in construction would be tested in the National Accreditation Board for Testing and Calibration Laboratories (NABL) accredited laboratories as a third-party check prior to approval. The move is based on discussion and analysis with stakeholders and also technical opinion.

With this move, the supplier base for steel used in the construction of national highways would increase, leading to added competition and better price discovery.

Access latest steel prices here

Around 250-300 kg or more of steel is used in building 1 km of national highways, an official told media sources. The quantity of use can increase and vary if the highways have more structures while being built.

Given the increase in steel prices, which can impact the cost of building national highways, Road Transport and Highways Minister Nitin Gadkari had suggested the need to re-look at all conditions that could be restrictive, without impacting the quality of material used for highway construction.

Gadkari had already raised the issue earlier in several forums after several steel user sectors approached the minister on this matter. The minister had also raised the issue with Prime Minister Narendra Modi.

As we have reported, the Competition Commission of India (CCI) is investigating whether steel companies have colluded with each other to increase the commodity price.

Image: The government has previously mandated the use of domestically manufactured metal and alloy items for public projects.


Also read: Gadkari bats for a steel and cement regulator

Also read: Govt issues new domestic procurement norms for 49 steel pro

The Ministry of Road Transport and Highways (MoRTH) has issued orders that all types of steel can be used for national highway construction given they pass the required quality tests. With this move, the ministry aims to increase the steel supplier base and potentially lower the input cost of raw materials in the backdrop of rising steel prices. Official sources told the media that earlier, the contract provisions required the use of steel produced by primary integrated steel producers only. The ministry, in an official release, said all kinds of steel whether produced from ore, pellets, billets or melting of scrap, will be allowed to be used for the construction of national highways, as long as it meets the standards required for specific grades of steel. The steel proposed to be used in construction would be tested in the National Accreditation Board for Testing and Calibration Laboratories (NABL) accredited laboratories as a third-party check prior to approval. The move is based on discussion and analysis with stakeholders and also technical opinion. With this move, the supplier base for steel used in the construction of national highways would increase, leading to added competition and better price discovery. Access latest steel prices here Around 250-300 kg or more of steel is used in building 1 km of national highways, an official told media sources. The quantity of use can increase and vary if the highways have more structures while being built. Given the increase in steel prices, which can impact the cost of building national highways, Road Transport and Highways Minister Nitin Gadkari had suggested the need to re-look at all conditions that could be restrictive, without impacting the quality of material used for highway construction. Gadkari had already raised the issue earlier in several forums after several steel user sectors approached the minister on this matter. The minister had also raised the issue with Prime Minister Narendra Modi. As we have reported, the Competition Commission of India (CCI) is investigating whether steel companies have colluded with each other to increase the commodity price.Image: The government has previously mandated the use of domestically manufactured metal and alloy items for public projects. Also read: Gadkari bats for a steel and cement regulator Also read: Govt issues new domestic procurement norms for 49 steel pro

Related Stories

Gold Stories

Next Story
Infrastructure Urban

Vedanta Metal Bazaar Expands to Global Markets

Vedanta Aluminium has expanded its digital e-commerce platform, Vedanta Metal Bazaar, to international markets, enabling overseas customers to order and purchase aluminium products online.The platform will now be available to buyers across Asia, Europe, Africa and the Americas, providing a digital gateway for export transactions with 24x7 access.In FY26, Vedanta Metal Bazaar processed transactions worth nearly $4.1 billion, or over Rs 380 billion, and fulfilled more than 23,000 orders. The platform is also used regularly by more than 550 MSMEs in India alongside large OEM customers.The export ..

Next Story
Infrastructure Urban

Ramky Infrastructure Q1 FY27 Revenue Rises 24.3%

Ramky Infrastructure Limited reported a 24.3% year-on-year increase in consolidated revenue from operations to Rs 471.2 crore for Q1 FY27, compared with Rs 3.79 billion in the corresponding quarter of FY26.Standalone revenue from operations rose 27.5% YoY to Rs 4.51 billion from Rs 3.54 billion, while total standalone income increased 35% to Rs 5.32 billion.Consolidated profit before tax stood at Rs 540.9 million during the quarter. The company highlighted a sharp sequential improvement compared with a pre-exceptional loss of Rs 190.1 million in Q4 FY26.Two of the three projects awarded during..

Next Story
Technology

LTTS Launches AgenticIQ AI Platform for Engineering

L&T Technology Services (LTTS) has launched AgenticIQ, an end-to-end agentic AI platform designed for engineering and manufacturing organisations.The platform is aimed at helping enterprises move beyond isolated AI pilots by enabling autonomous, multi-agent workflows across engineering, product development, manufacturing, industrial operations and customer experience.AgenticIQ is built on LTTS’ Engineering Intelligence portfolio and converts existing engineering capabilities into specialised, reusable AI agents. Its planning-first architecture is embedded into engineering and production ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement