The Indian Embassy in Tanzania has requested that Indian steel producers explore the prospect of increasing shipments to the African nation.
Currently, China, South Africa, and Japan dominate the Tanzanian market; the Union Steel Ministry may explore promoting Indian goods, which are currently in great demand.
Binaya Srikanta Pradhan, India's High Commissioner to Tanzania, has recommended sending a business team before the end of the year to promote a buyer-seller meeting.
"...India trails in certain categories, such as iron or non-iron alloy steel, while excelling in others, such as column rods, bridges, pillars, bridges, angles, lock gate towers, doors and windows. To encourage our steel sector export, it would be a good idea for Indian steel industry players to make the trip, Pradhan said in the letter.
According to the letter, the Steel Ministry might think about sending a business delegation between September and December.
"We discussed the matter with significant importers and regional steel producers who use scrap as a raw material to produce everyday things. According to the letter, India can improve its exports in the areas where it now lags with a little work.
Tanzania, one of Africa's major countries, purchased iron and steel and products worth 1250.27 million USD in 2022. The value of Indian exports was 105.52 million USD. With a market share of 8.44 percent in 2022, India is presently the fourth largest supplier of iron and steel to the African country.
Other nations, such as China, increased their contribution to 41.47 percent (from 38 percent in 2021 and 36.6 percent in 2020). South Africa has a market share of 12.58 percent (up from 9.84 percent in 2021 and 8.45 percent in 2020), while Japan has a market share of 11.43 percent (down from 15.82 percent in 2021 and 8.31 percent in 2020).
Indian firms had a constant market share of 6% (compared to 2020) or 49.25 million USD in 2022 in the iron and steel export category, however in the category-specific break up (classified as items of iron and steel), its market share doubled to 14% (over 2020) to 56.27 million USD.
According to Ministry statistics, India was among the top six suppliers of flat rolled goods of iron or non-alloy steel, plated, hot rolled, and coated, with exports totaling 0.91 million USD.
Indian exporters led the bridge and bridge section category, which reached at 23.05 million USD in 2022, up thrice from 7.28 million USD in 2020. India also recorded growth in railway track and building material exports.