India’s stainless steel sector is all set to showcase strong growth, with demand projected to rise by 7–8% annually over the next two to three years, according to the Indian Stainless Steel Development Association (ISSDA). This optimistic outlook comes on the back of robust performance in FY25, during which India’s stainless steel consumption reached 4.8 million tonnes, marking a year-on-year (YoY) growth of approximately 8%.
Speaking at the Global Stainless Steel Expo 2025, ISSDA President Mr. Rajamani Krishnamurti underscored the significant potential for expansion, particularly in infrastructure-led demand. He pointed out that India’s current per capita stainless steel consumption stands at 3.4 kg, still considerably lower than the global average of over 6 kg. “This gap represents a major opportunity for the Indian stainless steel industry, especially as the government pushes large-scale infrastructure development,” Krishnamurti said.
The Expo, attended by over 10,000 stakeholders including industry leaders, policymakers, and international experts, highlighted several growth drivers for the sector. Key opportunities lie in upcoming railway projects, tunnel systems, port modernisation, airport expansion, as well as the construction of roads and highways.
India currently ranks as the world’s second-largest consumer of stainless steel and the third-largest producer, following China and Indonesia. With the country’s construction market projected to hit US$ 1.42 trillion by 2027 — growing at a CAGR of 17.26% — the demand for corrosion-resistant and durable materials like stainless steel is expected to surge.
Emerging sectors such as green hydrogen are also anticipated to create fresh demand. Krishnamurti noted that stainless steel is particularly well-suited for modern infrastructure due to its high strength, zero maintenance, cost-efficiency over its lifecycle, and recyclability.
Adding to the growth momentum is the government’s increased capital expenditure. In FY24, the capex to GDP ratio touched 3.3%, signaling a strong pipeline of public investment in infrastructure — a major consumer of stainless steel.
With its resilience, environmental benefits, and strategic importance in core sectors, stainless steel is set to play a pivotal role in shaping India’s growth story over the coming years.
