Parliament Question: Steel Scrap Recycling Policy

GOVERNMENT OF INDIA MINISTRY OF STEEL RAJYA SABHA UNSTARRED QUESTION NO. 3980 FOR ANSWER ON 27.03.2026 STEEL SCRAP RECYCLING POLICY

3980. SMT. SANGEETA YADAV:

SHRI MITHLESH KUMAR:

SMT. KIRAN CHOUDHRY:

Will the Minister of STEEL be pleased to state:

(a) whether the Steel Scrap Recycling Policy has resulted in measurable increase in scrap processing capacity;

(b) if so, the details thereof;

(c) the number of registered scrap processing centres which are operational;

(d) whether scrap-based electric arc furnace capacity has increased;

(e) if so, the details thereof;

(f) whether import of scrap has declined due to domestic availability; and

(g) if so, the details thereof? ANSWER THE MINISTER OF STATE IN THE (SHRI BHUPATHIRAJU SRINIVASA VARMA) MINISTRY OF STEEL

(a)to(g): Ministry of Steel notified Steel Scrap Recycling Policy, 2019 with aim to promote circular economy in the steel sector and evolve a responsive ecosystem by involving all stakeholders. Subsequently, Registered Vehicle Scrapping Facilities

(RVSFs) have been set up across the country under Vehicle Scrapping Policy, 2021 issued by Ministry of Road, Transport & Highways. As of 12.03.2026, 134 RVSFs are operational across 22 States and UTs. These facilities have scrapped 4,65,393 vehicles, resulting in increased domestic steel scrap significantly. The scrap consumption has been increased significantly from 25.58 Million Tonnes (MT) in Financial Year (FY) 2019 to 33.36 MT in FY 2024. During the same period, the domestic scrap generation has increased by 5.65 MT, whereas scrap imports rose by 2.13 MT. Electric Arc Furnace capacity has been increased from 40.51 MT in FY 2019-20 to 43.99 MT in FY 2025-26.

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