“If you look at the massive infrastructure push by the government, even going by conservative estimates, steel demand will grow a lot. India will equal the global per capita consumption in 10 years,” said Mr Singh.

“Look at the road sector; more highways are being built, which means more steel will be used. Similarly, more railway tracks are to be laid; we expect a huge jump in spending there. Power sector is also expanding, which again will boost demand for the metal,” Mr Singh added.

Steel demand is also expected to grow in the automotive sector as the demand for commercial vehicles and passenger cars is expected to rise.

India is currently the world’s third largest producer of the metal. Per capita steel consumption in the country stood at 59.4kg per person in 2014, against a global average of 216.6kg, data from industry body World Steel Association showed.

Mr Singh’s remarks echo a report by the Working Group on Steel for the 12th Five Year Plan. The report noted that the potential of raising per capita steel consumption in India is being supported by several factors. These include an estimated infrastructure investment of US$1 trillion, a projected growth in manufacturing at 11 to 12 percent, a rise in urban population, and an emergence of the rural market for steel.

Singh, however, cautioned against the rising overcapacity in steel across the globe, especially in China.

“We have to be cautious about the excess capacity in the world and in China. Some countries are dumping their products in India at cheaper rates and adversely impacting the health of domestic producers. The steel industry is of strategic importance and is the barometer of growth for the country,” he said.