Post News Network
Bhubaneswar, Sept 4: A delegation of Indian Steel Association (ISA), comprising companies having their units in state, Friday met Chief Minister Naveen Patnaik and apprised him of its problems.
The team comprising steel makers like Tata Steel, Jindal Steel and Power Ltd (JSPL) has urged the state government to step up availability of iron ore and chrome ore and relax water charges imposed on the units.
“The steel industries in state are functioning within 50 per cent of their capacity. The steel industry is in dire straits and needs support from the government to be self-reliant and to save lakhs of employees in the industry,” said JSPL chairman Naveen Jindal.
Similarly, the government has been charging high rates in terms of water cess, he said, adding, “We have apprised the CM of these issues and the state government has assured us of action considering the merit of the proposal and legal provisions.”
The steel industry in state has been facing a challenging time due to increasing imports from China, Japan and South Korea at a very low price, Sanak Mishra, secretary general of ISA said,
“Due to increasing imports from China, Japan and South Korea at a low price, we are compelled to cut down the domestic price. Besides, the non-availability of iron ore in state also hit the steel industry,” Mishra said.
The Chief Minister has stated that steel industry is important for the state and government would take all necessary action, he added.
An ISA delegation met Chief Secretary GC Pati in June and apprised him about the problems of the industry.
The ISA has been formed by eight major steel producers in public and private sectors with a production capacity exceeding two million tonne per annum.