The government has said, Indian steel industry is currently passing through a severe downturn due to global overcapacity. Steel Minister Chaudhary Birender Singh said in Lok Sabha today that it has obliged the major steel producing countries to sell their products in India at prices often lower than their cost of production. He said, domestic producers have had to significantly reduce prices, thereby eroding their profit margins. <br/><br/>Mr Singh agreed that there is a significant potential of growth for the Indian steel sector. The country's steel industry is expected to largely benefit from the budget allocation of more than two lakh crore rupees in the current fiscal. In reply to a question, he said, the Reserve Bank has issued detailed guidelines on restructuring of debts of viable entities which have been affected by internal or external factors.