Infrastructure
After MoRTH's New Decision, As Long As Steel Passes Standard Tests, It Will Be Used For Highway Construction; Metal Need Not Come From Primary Producer Only
- With this step, the supplier base for steel used in the construction of national highways would increase, leading to more competition and better price discovery by the markets.
Nitin Gadkari (Wikimedia Commons)
Ensuring cost reduction in building of highways using steel, the Road Transport and Highways Ministry has issued orders that all steel – whether produced from ore, billets, pellets or melting of scrap - would be allowed to be used for National Highway construction, as long as it meets the standards required for specific grades of steel.
The steel proposed to be used would be tested in NABL-accredited laboratories as a third party check before approval.
The move is based on the analysis and discussions with stakeholders and also technical opinion.
With this step, the supplier base for steel used in the construction of national highways would increase, leading to more competition and better price discovery by the markets.
This is also part of the continuous effort by the Minister to reduce costs through use of new technology, reducing restrictions on suppliers and making the procurement system transparent.
