Wednesday, December 08,
Essar Steel is literally firing on all cylinders. While it is close to achieving a capacity of 10 million tonnes in Hazira, the 6 MTPA greenfield palletisation plant at Paradip, Orissa goes on stream by March.
Mr Malay Mukherjee, Chief Executive Officer says, the Centre should discourage export of iron ore. It is a scarce commodity and should be made available only to the industry that can add value. Nearly half the 200 million tonnes of ore produced are exported.
The steel industry has to buy ore in the domestic market at the price NMDC supplies to Japan. By exporting iron ore, we are also losing out an opportunity to create employment in the country. China, for instance, imports iron ore from India and dumps steel here at unrealistic prices.
Most of the problems will be solved if the Government replicates the NELP (new exploration licensing policy) experience in the iron ore sector. The transparency NELP brings is commendable. A major portion of investments in the steel industry is held back due to lack of clarity in allocation of iron ore mines.
Source: The Business Line
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