The ISA Steel Conclave 2019

Summary

The speaker, Mr. Rath, addresses the steel industry's challenges and opportunities, highlighting the successful acquisition of Tata Steel BSL through India's IBC insolvency policy. He emphasizes the importance of safety, environmental responsibility, and embracing technological advancements like hydrogen and gasification to reduce carbon footprint. He also calls for industry preparedness for emerging trends such as the shared economy and disruptions in construction and automotive sectors, urging proactive adaptation to rapid technological changes.

Takeaways

• 🏭 Tata Steel BSL is a significant acquisition, being the first large steel plant to be acquired under India's Insolvency and Bankruptcy Code (IBC).
• 📈 The plant has a robust list of market customers and is on track to reach a full capacity of 5.4 million tonnes, with an expected output of over 4.7 to 4.8 million tonnes this year.
• 🌐 The IBC process has the potential to unleash many capacities in the steel industry, benefiting not only Tata Steel but also other companies like SR Steel and Electro Steel.
• 🙏 The speaker expresses gratitude to the Government of India for implementing schemes that provide impetus to the steel industry.
• 🔐 Safety is a paramount concern for steel plants, which are inherently at a higher risk due to the presence of hot metal and gases.
• 🤝 Collaboration among industry players is crucial for learning from incidents and adopting technologies to enhance safety.
• 🌿 The Ministry of Steel has initiated a scheme encouraging steel plants to participate in making steelmaking safer for the industry.
• 🌍 Environmental concerns are significant, with a need for better maintenance, filters, and dusting systems, as well as exploring new technologies like hydrogen and gasification to reduce the carbon footprint.
• 🚫 Coke remains the largest contributor to the carbon footprint in steel production, which is a growing societal concern.
• 🔄 The industry must adapt to new emerging trends such as the shared economy, connected world, and disruptions in construction and automotive sectors, which may require different types of steel.
• 🚀 The pace of technological change is accelerating, and the industry needs to be agile and proactive in preparing for these changes.

Q & A

What significant acquisition did Tata Steel make in 2018?

Tata Steel acquired the BSL steel plant, which was the first large steel plant to be acquired under India's newly formulated policy of IBC (Insolvency and Bankruptcy Code), on 18th of May 2018.

How is the BSL unit performing in terms of production capacity?

The BSL unit is performing well and is on track to reach its full capacity of 5.4 million tonnes. This year, it is expected to surpass 4.7 to 4.8 million tonnes.

What is the current ranking of the BSL unit among steel plants in India?

The BSL unit is the fifth largest steel plant in the country today.

How has the IBC process impacted the steel industry?

The IBC process has helped to unleash many capacities within the steel industry, as evidenced by the acquisition of companies like Tata Steel, SR Steel, and Electro Steel.

What is a major concern for steel plants mentioned in the script?

Safety is a major concern for steel plants due to the inherent risks associated with hot metal and gases present in the plants.

What is the Ministry of Steel doing to promote safety in the steel industry?

The Ministry of Steel has launched a scheme asking all steel plants to participate and make steelmaking safer for the industry.

What are some of the environmental challenges faced by the steel industry?

The steel industry faces challenges such as managing emissions, maintaining mills, and implementing dusting systems to reduce environmental impact.

How can new technologies help reduce the carbon footprint of the steel industry?

New technologies like hydrogen and gasification can help reduce the carbon footprint, as they offer alternatives to coke, which is a significant contributor to carbon emissions.

What is the speaker's view on the pace of technological change in the steel industry?

The speaker believes that technological changes are happening faster than expected, and the industry needs to prepare itself for these rapid changes.

What emerging trends does the speaker suggest the steel industry should monitor?

The speaker suggests that the steel industry should monitor trends such as the shared economy, a connected world, and disruptions in construction and automotive sectors, as these will influence the demand and type of steel required.

What is the speaker's closing statement regarding the steel industry's future?

The speaker emphasizes the need for the steel industry to continuously adapt and prepare for new trends and technologies to stay competitive and relevant.