Mumbai, National, 4TH July 2026: India’s transition toward green steel is fundamentally changing how steelmakers view scrap procurement. As the country moves toward its target of 300 million tons of steelmaking capacity by 2030, a growing share of production is expected to come from electric arc furnaces (EAFs) and induction furnaces (IFs), both of which rely heavily on scrap as a key raw material.
The shift is being driven not only by economics but also by sustainability considerations. Scrap-based steelmaking can reduce carbon emissions by 60-70 percent compared to the conventional blast furnace route, making it a critical component of decarbonisation efforts.
As environmental, social and governance (ESG) requirements gain prominence, steelmakers are increasingly focusing on the quality, consistency, traceability and carbon footprint of scrap. Procurement strategies are evolving from opportunistic buying to structured sourcing backed by certification, digital tracking and long-term supply partnerships.
“In the coming years, scrap will no longer be viewed merely as a low-cost raw material. Instead, it will emerge as a strategic resource that helps steel producers meet both sustainability goals and operational requirements in an increasingly carbon-conscious market,” Vinaya Varma, MD & CEO, mjunction, said.
The country’s steel scrap ecosystem is undergoing a transformation driven by vehicle scrappage policies, industrial recycling initiatives, urban mining opportunities and the growing need to reduce dependence on imported scrap. At the same time, evolving green steel requirements are pushing industry stakeholders to focus on quality assurance, traceability, certification and efficient supply chain management.
Commenting on the coking coal scenario — a critical raw material for steelmaking — he noted, “While thermal coal imports have declined over past few months, coking coal import volumes are trending upward. Given the sustained growth in hot metal production, we expect this momentum to continue.”
After registering a 6% year-on-year increase in FY 2025-26, hot metal production continued its upward trajectory with a 2% year-on-year growth during April–May 2026. Consequently, coking coal imports for April–May 2026 reached approximately 12.5 million tons (mt), marking a 27.5% surge from the 9.8 mt recorded during the same period last year.
Interestingly, overall coal and coke imports have dropped by an estimated 6.5% through May 2026 compared to the previous year.
Given the country’s heavy reliance on imports to meet its coking coal needs, developing an efficient scrap-sourcing ecosystem has become increasingly vital.
Against this backdrop, mjunction services limited will organise the 13th Indian Steel Markets Conference (ISMC 2026) in New Delhi on July 8-9, 2026, under the theme “Steelathon: Shaping the Steel-to-Scrap Value Chain.”
The two-day conference will bring together leading voices from the steel, scrap, mining, infrastructure, automotive, logistics, finance and policymaking communities to discuss the challenges and opportunities shaping the sector’s next growth phase.
The conference will feature around 30 eminent speakers representing major steel producers, mining companies, infrastructure developers, automotive manufacturers, financial institutions, logistics providers and policy bodies.
About mjunction:
mjunction services limited, a 50:50 joint venture between Tata Steel and SAIL, is India’s largest B2B e-commerce company, leveraging technology to create value across industries for over two decades. Founded in 2001 with the launch of its pioneering metaljunction platform to bring transparency and efficiency to steel sales, mjunction has since diversified into multiple sectors, offering a comprehensive portfolio that includes e-auctions, e-procurement, loyalty solutions, e-marketplaces, agri-commodities, financing, and specialized services. With innovative offerings like mjGRO for loyalty management, mjunction serves over 140 marquee clients in both public and private sectors. With a strong focus on innovation, transparency, and customer success, mjunction continues to drive digital transformation in B2B commerce, enabling businesses to trade and procure with greater efficiency, scale, and trust.
