With continued cheaper imports, this situation is likely to keep pressure on the steel prices during the year ahead.

These figures suggest that the JPC has revised its demand estimates for the domestic consumption of steel.

In an earlier projection, the ministry had estimated that Indian steel demand will rise to 32 million tonnes in year 2001-2002.

But with the demand estimates of steel being put at 24.305 million tonnes for the year 1999-2000, it is next to impossible for the steel demand to rise to 32 million tonnes in 2001-2002.

According to the latest estimates of the JPC, the biggest drop is seen in the consumption of structurals. Earlier it was projected that the requirement of structurals in year 2001 would be 3.6 million tonnes. This would have required a demand ofstructurals at 3.3 million tonnes in the year 2000. But currently, the JPC demand of structurals in India would only be to the tune of 2.9 million tonnes.

As indicated, the demand for pipes and tin plates would also remain depressed compared to the earlier projections. In the HR plate segment, the demand in the year 1999-2000 has been put at 1.749 million tonnes.

Earlier the ministry had put the demand for steel plates at 3 million tonnes in year 2001-02. This against looks highly unattainable.