September 08, 2008

Indian foundry sector calls for national policy on iron ore exports

BS reported that Indian Foundry Association will submit a memorandum to union steel minister for a policy on pig iron, along with iron ore.

As per report, IFA would urge the government to form a national policy on iron ore and pig iron exports to safeguard the interests of the domestic industries and impose export duty on pig iron of no less than 25%. It also wants pig iron producers to keep prices firm for at least 3 months and bring some stability in the market and prices brought down to actual increase in input cost only.

Mr Pawan Sureka chairman of IFA said that prices have increased by more than 30% in last weeks. He added that on January 31st 2008, the price of pig iron was between INR 18,600 and INR 20,300 per ton, whereas it is now at INR 24,900 and INR 27,500 per tonne. The basic price of pig iron in March 2006 was INR 12,500 per tonne.

Mr Sureka said that the government should also negotiate with the Chinese government pressurizing them to withdraw export duty on coke in lieu of the low or insignificant tariff on export of iron ore from India.