State Of The Economy 2016

No rock and roll

The steel re-rolling industry has all but flattened out. Can government intervention save the units?

photographs: Soumik Kar

Dumping of cheap steel, weak demand and a drop in production has ravaged the steel industry in the country. It is no different at the Butibori industrial belt, a cluster developed by the MIDC, about 27 km south of Nagpur. The steel re-rollers here tell a woeful tale of an industry that has all but flattened out. Neeraj Aggarwal, who owns a re-rolling business called Shyambaba Re-Rollers, has shut his plant for now. With dismal prospects for his business, he sees Butibori turning into Detroit, a ghost town that once housed a vibrant auto industry.