August 25,
The Karnataka Government is backing the proposal of steel industries to set up 11 captive iron ore mines in Karnataka in line with the MoUs signed with them during the Global Investors Meet (GIM) in June.
It has recommended 3 captive mines for the Arcelor Mittal steel plant, 2 for Brahmini Steels, 2 for Korean steel giant Posco, and 1 each for JSW Steel Limited, Bhushan Steel Limited and Kalyani Steels Limited. The last could be either for Surya Vijayanagar Steel or Essar Steel, according to highly placed sources in the departments of commerce and industries and mines and Geology.
But the Mine Owners do not seem happy with the decision by the Government. Hothur Mohammed Iqbal, secretary, Bellary-Sandur-Hospet Mine Owners’ Association said, “Today all major steel makers in the country have their own captive mines, but has that made steel any cheaper in India? Nowhere in the world do steel makers mine themselves. The government is showing undue favour to the steel industry and allowing it to monopolize the mining sector.”
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