The NMDC officials have been hinted that the Chhattisgarh government intents to follow the practice adopted by the other states and reserve 50 per cent of the iron ore produced from state’s mines for the local industries,†a top official of the state government.
“The minister clearly told the NMDC officials to seriously consider the demand or otherwise government will be forced to issue the notification (as Orissa government did) to make it mandatory for the miners in the state to reserve half of its production for the local units,†the industrialist said.
The NMDC, country’s largest iron ore exporter and producer, has major mining operations in Chhattisgarh’s Dantewada district. The company produces about 22 Million Tonnes (MT) of iron ore in Dantewada that is about 75 per cent of NMDC’s total iron ore production.
The company had been asked to cut short the price of iron ore for the local units and provide the raw material at a reasonable rate. The NMDC officials said the broad meeting was slated to be held on January 2 in which the issue would be taken up.
Over a telephonic conversation with Mr Anil Nachrani, President Chattisgarh Sponge Iron Manufacturer Association (CGSIMA), highlighted that state is one of the largest steel producing state in the country and NMDC has been supplying ore to industries based out of state and to other countries at a much lower price.
He also said that he is hopeful that NMDC will reserve 50% quota for industries located in the state.
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