ODISHA:Steel industry accuses miners of cartelisation

It seems the
long standing controversy between the iron ore mine owners and the user industries is
not yet over even after the intervention of the government by mandating 50% of
the iron produced in the state for the user industries inside Odisha. The All
Odisha Steel Federation (AOSF) representing 200 steel and allied units in
Odisha has accused the miners of Cartelisation in pricing of iron ore for the
user industries inside the state.

The federation president
Mr.P.L.Kandoi has said that “the mine owners are cartelising and are going to
prove in the court of law or to the government that this allocation of 50%for
Odisha units is on higher side and they would appeal for nullifying this order
or nullifying the same to the lower percentage.”

He alleged that the
miners are intentionally quoting such a high rate that the industry cannot
afford and are unable to purchase.

On December the
Odisha government has directed the miners to sale 50% of iron ore produced by
them in every month to the state based stand alone steel units at the
prevailing market price.

“This is a
positive step but the purpose will only be achieved when a fair price mechanism
will be announced” Kandoi said.

Edited by Tapan Moharana


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