Steel Ministry clarifies Railway and Public sector undertaking can purchase rebar under BIS norms; not only from large steelmakers.
Ministry of Steel, Government of India, had notified on 12 May’16 that no steel producer will be classified/certified as integrated steel producers, primary steel producers, secondary steel producers, main producers, major producers or others by Ministry of Steel.
Indian steel industries from decades are classified as primary, secondary and integrated steel producers as per forward and backward integration. In a big move to bring all industry manufacturers in one platform as per BIS standard marks, Ministry of Steel in a order dated 12 May’16 abolished all such classifications.
In another recent order issued on 9 Aug’16, the ministry stated that major infrastructure ministries/ departments like Railways, Defence, Shipping, RTH, UD, Power, Mines, etc while calling for tender/ etc may like to bring these facts to the notice of their major PSUs. It can be inferred as now secondary or small steel producers can also supply steel to PSU, as per BIS standard norms.
“It’s a welcome order by Indian government, as we are fighting for our equality rights since a long time,” said a member of All India Steel Re-roller Association“.
However, SteelMint in conversation with few rebar manufacturers in Mumbai also learnt that most PSUs have mentioned in their tenders that they require rebar which is specifically made of SAIL, RINL, JSPL, Tata Steel and JSW. Therefore, it’s not a matter of classification as PSU had made it mandatory to purchase steel made by few large steel manufacturers.
He also added, we require educating departments that steel should be tested as per chemical specification. Secondary steel producers have invested in technology and they can also provide the same quality material at par with primary steel producers.
It should be noted that Ministry of Steel has also issued that ‘Steel and Steel products quality control order 2016’ on 30 non-alloy steel and 3 stainless steel products, which cannot be produced, sold, store for sale distributed and imported, without certification by Bureau of Indian Standards (BIS) and without standard Mark of BIS.
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