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Rediff News  All News  » Business » Fimi objects to steel firms' iron ore deals

Fimi objects to steel firms' iron ore deals

June 12, 2007 13:03 IST

The Federation of Indian Mineral Industries has strongly objected to Indian steel companies' policy of selling surplus iron ore in the domestic market and crying for a ban on iron ore export to meet shortage of the commodity.

Fimi said in April, the state-run Steel Authority of India invited tenders to dispose of 25,000 metric tonnes of high grade iron ore fines from its Visvesvaraya Iron & Steel  plant in Karnataka. Again, Tata Metaliks invited tenders in April to sell 10,000 tonnes of iron ore fines.

said the steel companies' stand is contradictory. They are opposing iron ore exports, but at the same time are selling the iron ore stock, which will easily find its way to the export market. The steel firms have no locus standi in seeking curbs on exports without first utilising their surplus stock of iron ore, Fimi said in a statement.

Fimi had apprised the Centre of the steel companies' contradictory actions. A number of other steel companies are also selling iron ore in the domestic market, indirectly contributing towards export.

Commodity Online