India’s raw steel output rises 3.4% to 14.1 MT in September
India's raw steel output hit 14.1 MT in September 2026, while steel prices for TMT bars and coils saw a sharp surge.
India's steel sector demonstrated robust momentum in September 2026, with the Ministry of Steel reporting a steady climb in production metrics. The nation's raw steel output witnessed a 3.4 per cent year-on-year increase, reaching a significant 14.1 million tonnes (MT) for the month.
This growth was mirrored in the finished steel segment, which saw a 3.7 per cent surge compared to the same period last year. The data highlights a period of strengthening industrial capacity across the country.
Half-Year Performance: A Steady Climb
The momentum observed in September is part of a broader upward trend seen throughout the first half of the fiscal year. Between April and September 2026, the cumulative figures paint a picture of consistent expansion:
- Crude Steel Production: Grew by 2.9 per cent to reach 85.1 million tonnes.
- Hot Metal Output: Rose by 2.5 per cent, totaling 48.3 million tonnes.
- Finished Steel Production: Increased by 3.7 per cent to 81.8 million tonnes.
During this six-month window, finished steel production also showed a 1.9 per cent increase, bringing the total to 13.5 million tonnes for the period.
Skyrocketing Steel Prices
While production volumes are rising, the cost of steel has also experienced a dramatic spike. September 2026 saw sharp month-on-month (MoM) and year-on-year (YoY) price hikes across various steel products, which could impact construction and manufacturing costs.
Price Breakdown of Key Steel Products:
- TMT Bars (10 mm): Prices jumped 12.6 per cent MoM and 21 per cent YoY, reaching Rs 65,298 per tonne.
- Hot-Rolled (HR) Coil (2 mm): Witnessed an 8 per cent MoM and 26.8 per cent YoY increase, hitting Rs 76,085 per tonne.
- Cold-Rolled (CR) Coil (0.63 mm): Climbed 11.1 per cent MoM and 28.8 per cent YoY to Rs 84,972 per tonne.
- Galvanised Plain (GP) Sheet (0.63 mm): Rose 8.6 per cent MoM and 27.7 per cent YoY to Rs 94,148 per tonne.
Market Dynamics and Producer Contributions
The industry landscape remains dominated by a group of major players. India's top seven steel producers were responsible for a massive portion of the output during the April-September period, accounting for:
- 47.7 million tonnes of crude steel.
- 44.8 million tonnes of hot metal.
- 44.1 million tonnes of finished steel.
The remaining producers contributed the balance, including 37.4 million tonnes of crude steel and 37.7 million tonnes of finished steel. In terms of sector involvement, the public sector played a notable role, contributing 15.5 per cent of crude steel, 29.4 per cent of hot metal, and 13.5 per cent of finished steel production during the first half of the year.
Trade and Import Trends
Despite the strong domestic production numbers, India continues to navigate the complexities of global trade. During the first half of FY 2026–27, the country remained a net importer of finished steel by volume. While exports saw a healthy rise of 26.2 per cent compared to the previous year, imports outpaced this growth with a 23.8 per cent increase.