A delegation of Steel Re-rollers Association of Maharashtra headed by President Shri Yogesh Mandhani with Vice President Shri Vipin Agrawal, General Secratratery Shri Kamal Gupta and representatives from whole Maharashtra met the Honarable Shri Devendra Fadnavis, Chief Minister of Maharashtra on 2 Mar, 2015.
The delegation apprised the Chief Minister about the Steel Industry, which is facing the worst recessionary situation for a long time; Maharashtra being the most affected state due to lack of Policies.
The Chief Minister listened to the problems and assured the delegation of his seriousness towards solving the issues of Steel Industry. As far as power is concerned, he would reduce power charges by INR 1.50/Unit as power rates are very high in the state.
He also accepted the proposal of Entry Tax on Long Iron & Steel products coming from neighboring states. He said Entry Tax will be levied in the coming budget.
President Yogesh Mandhani also drew the Chief Minister’s attention towards Coal and Iron ore Mines in Chandrapur and Ghadchirauli which are naxalite affected areas. It will be very helpful to Mahrashtra Steel Industry if these mines become operational. The Chief Minister assured that operation will be started in these mines after providing adequate security.
The Chief Minister also agreed on demand of Secondary steel sector to give them a chance to supply their products for goverment projects, as their quality is at par with the Primary producers.
In our analysis we assessed that neighboring states like Chhattisgarh, Odisha and Karnataka are the largest suppliers of Semi finish and finished Long steel products to Maharashtra.
Entry Tax in neighboring state Madhya Pradesh is 5%. While in Chhattisgarh, there is no tax at present.
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