Vedanta Urges $25bn Investment to Meet India's 300Mt Steel Target as Iron Ore Imports Hit 7‑Year High
Vedanta Group chairman Anil Agarwal highlighted the need for $20‑$25 billion in capital to build large‑scale iron ore producers, citing that India will have to import 75% of its 800 Mt iron ore requirement to reach a 300 Mt steel target. He noted that imports are projected to rise to 12‑14 Mt in 2025‑26, mainly from Brazil and Oman, and that domestic production must expand to avoid a supply crunch.
Vedanta Group chairman Anil Agarwal highlighted the need for $20‑$25 billion in capital to build large‑scale iron ore producers, citing that India will have to import 75% of its 800 Mt iron ore requirement to reach a 300 Mt steel target. He noted that imports are projected to rise to 12‑14 Mt in 2025‑26, mainly from Brazil and Oman, and that domestic production must expand to avoid a supply crunch.
In the short to medium term, iron ore prices are likely to tighten as import demand climbs, raising costs for steelmakers. The call for significant investment may spur new mining projects, potentially easing supply pressure over the longer term but could also lead to higher input costs for the steel sector.