Govt plans apex body to streamline research in steel sector

NEW DELHI: In a bid to meet the growing technical and human resource requirements of the industry, the steel ministry is planning to bring all existing steel research and training institutes under an ‘umbrella organisation’ for the first time ever.

The government also plans to almost double its funding for research and development (R&D) activity in the steel sector.

The Indian steel sector would require an additional workforce of 1,36,000 to achieve the anticipated steel production of 68m tonnes (MT) by ‘11-12. “The profile of required human resources will have a larger share of skilled and semi-skilled labour force.

This proposed umbrella organisation is expected to supply required labour force at a good speed and at reasonable costs by unifying the scattered efforts of various research institutes,” steel ministry officials told ET.

This proposed organisation will have representation from each segment of the industry. Its main functions will be collection and analysis of data, training of secondary small scale units, creation of requisite human resource base, revitalisation of existing R&D centres and promotion of steel consumption. It will also develop appropriate technology for cost effective production of quality steel.

R&D in the iron and steel sector is carried out mainly by the steel plants, research laboratories and academic institutions.

The research institutes under the steel ministry include Biju Patnaik National Steel Institute (BPNSI), National Institute of Secondary Steel Technology (NISST), Institute for Steel Development and Growth (INSDAG), among others. “The umbrella organisation will co-ordinate the efforts of research wings under the steel ministry,” said sources.

Currently, about Rs 80 crore is invested in R&D activities by the iron and steel and allied companies which is hardly 0.2% of the turnover of domestic steel companies as against 2-3% at the international level. The steel ministry wants to raise this investment to about Rs 150 crore annually.

This proposed organisation will also steer the long-term goal of national steel policy to build a modern and efficient steel industry catering to diversified steel demands.