India is the 9th largest steel producing nation in the world with an approximate production of 23.9 million ton of crude steel ( about 3.1% of total world production ) during 1999. India has some of the best iron ore reserves in the world with production of about 67.8 million ton in the financial year 2000.

In 1990, with its wave of liberlization, heralded exciting times for the industry. Large amount of investments were channeled into the sector, as licensing restrictions and distribution quotas were removed, freight equalization scheme and steel development fund cess were abolished.