Union Steel Secretary suggests Odisha government go for separate bidding of iron ore

Union Steel Secretary Aruna Sharma on Friday suggested Odisha government go for separate bidding of iron ore so that end users can get advantage of having dedicated iron ore mines.

BHUBANESWAR: Union Steel Secretary Aruna Sharma on Friday suggested Odisha Government to go for separate bidding of iron ore so that end users can get advantage of having dedicated iron ore mines.

Interacting with members of Indian Chamber of Commerce (ICC) on 'Roadmap of Odisha Steel Industry', she said the State should have a separate policy through which iron ore can be auctioned for end users and mercantile miners as in the case of coal.# "The coal sector has been divided into three categories - coal for cooking, sponge iron plants and thermal coal for power plants for which auctioning is being done separately," she said.

 Sharma said Odisha has emerged as a strong cluster in steel sector and can contribute largely for the steel policy as the country has set a target to produce 300 million tonnes by 2030.

"India is blessed with very high quality iron ore across the globe and the manufacturing cost is second best. But we are hit by high cost of raw material. Odisha produces 20-25 million tonnes of steel every year. To increase production, we must set up downstream industries for value addition of steel," she said.

On power cost, the Steel Secretary said talks are on with Energy Department if there can be an arrangement with NTPC to consider steel industries as a single unit like railways which is treated as single entity across the country. "Hopefully, we will come up with a solution soon," she said.

 Besides advising the State Government to come up with a big solar plant instead of encouraging each industry to invest on solar power, Sharma urged to give priority on domestic consumption.

 "Government should take proactive role to make people aware on advantages of use of steel. While per capita consumption in China is 469 kg, it is only 64 kg in our country. Collectively, we have to play a bigger role to educate people," she added.

Raising the problems that steel industries in the State are facing, Chairman of ICC, Odisha chapter Vishal Agarwal lamented the delay in getting environment and forest clearance and requested Sharma to help expedite the process. "Iron ore price fluctuation is another problem which Odisha industries have been facing," he said and sought immediate intervention of the Centre.

Among others, State Industries Secretary Sanjeev Chopra, Steel and Mines Secretary RK Sharma and ICC member Manish Kharbanda also spoke.

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