State-owned SAIL, Tata Steel and other players in the sector today inked a pact with the government for setting up a research and development body SRTMI with an initial corpus of Rs 200 crore.
The SRTMI initiative aims at increasing investment on R&D in steel from 0.2-0.3 per cent of the sector's total turnover, to international benchmark of 1-2 per cent.
The body has been set up after a recommendation was made by a high level Task Force set up by the Ministry of Steel. The government is looking at enhancing India's steel production to 300 million tonnes by 2025, from about 100 MT at present.
Major steel companies including SAIL, Tata Steel, JSW Steel, JSPL and RINL signed with the Ministry of Steel a Memorandum of Understanding to set up of Steel Research and Technology Mission of India (SRTMI), said an official statement.
"The initial corpus for setting up of SRTMI is of Rs 200 crore wherein Rs 100 crore will be contributed from the Steel Development Fund of the Ministry, and Rs 100 crore will be provided by the participating companies," the ministry said.
Steel and Mines Minister Narendra Singh Tomar said: "The joint initiative of steel industry and government will definitely yield results, if same enthusiasm and spirit is maintained at all times.
"In a youth rich country like India, steel industry can play a major role in creating employment."
SRTMI will carry out R&D in priority areas of national importance covering best usage of available raw materials and conservation of natural resources, optimum energy conservation & minimum emissions, innovations and in-house development of design, engineering and manufacturing facilities of key steel plant equipments.
It will have a Governing Board of CEOs of steel and associated companies, domain experts of national and international repute, and nominee from the Ministry of Steel.
There will also be an Oversight Committee under the chairmanship of Steel Secretary to periodically assess its functioning and performance.
