The Ministry of Steel has issued a revised policy on May 26, 2025, with further amendments on July 25, 2025, to promote the use of Domestically Manufactured Iron & Steel Products (DMI&SP) in government procurement. Initially introduced in 2017, the policy has been updated periodically to align with evolving trends in India’s steel industry. It applies to all central government ministries, departments, and entities under their administrative control involved in procuring iron and steel products.

The latest revision underscores the government’s focus on strengthening domestic steel manufacturing capabilities and fostering self-reliance in steelmaking technologies. Under the updated rules, the use of steel produced entirely within India is mandatory for government procurement. A revised list of capital goods eligible for import has also been released, along with stipulated minimum local content requirements.

Additionally, the policy aims to encourage participation from indigenous technology providers in tenders for setting up steel plants and associated infrastructure by easing entry restrictions. Recognizing that Indian firms may have limited experience compared to global players, specific guidelines have been introduced. These guidelines will be applicable to public sector undertakings engaged in steel production.