Construction sector to lead recovery in steel demand: ICRA

While the performance of domestic steelmakers is likely to be lower in the first quarter of the current financial year as compared the previous year due to several headwinds, the construction sector will be at the forefront of demand recovery in the second half, according to investment information and credit rating agency ICRA.The new government's thrust on infrastructure creation will be known when it presents the full Union Budget for 2019-20 in July, it said.According to an ICRA report, domestic steel consumption growth eased to 7.5 per cent in FY19 from 7.9 per cent in FY18 due to liquidity and fuel price related headwinds faced by the auto sector during the second half.The demand growth moderated further to 6.4 per cent in April and is likely to remain lower than the FY19 levels in the first quarter due to continued weakness in the auto sector and reduced construction-related activities during the general election period.This, coupled with elevated coking coal prices, is likely ..