State vows to safeguard steel cos’ interest

Responding to a pressing demand of the steel makers to ensure them allotment of iron ore under pre-Emption Scheme, the Odisha Government has assured a delegation of the the Utkal Chamber of Commerce and Industry (UCCI) to take all possible steps to safeguard the interests of the industries based in Odisha.

In the backdrop of a recent appeal made by the UCCI and Orissa Sponge Iron Manufacturers’ Association (OSIMA) to Chief Minister Naveen Patnaik for early allotment of iron ore for the State-based industries under the Pre-emption scheme, the Industry Department had invited the UCCI for a meeting with the concerned State Government Departments to address the grievances of UCCI and allied industries.

A delegation of UCCI, led by its president Brahma Mishra met Principal Secretary Industries Hemant Sharma, Principal Secretary (Steel & Mines) Deoranjan Kumar Singh, Odisha Mining Corporation (OMC) MD Balwant Singh, IPICOL MD BS Poonia, Special Secretary to Govt (Steel & Mines) DK Mohanty, and other senior Government officials.

In the meeting held on September 30, the UCCI delegation stressed the critical iron ore shortage in Odisha and urged upon the Government to allot iron ore immediately to its member applicants under the State Government’s active pre-emption scheme. Notably, more than 18 applications have been pending before the Odisha Government for more than three months now, seeking allotment of iron ore. Principal Secretary Sharma told the delegation that the State Government would provide all possible assistance to the investments in steel sector.

“After this meeting, we are hopeful that the State Government will enforce its own law of preemption and would allot the industry iron ore under the Pre-Emption scheme in next two to three days.

However, if no allotment is given within a week, then we will be left with no choice but to increase our efforts to protect the interest of Odisha based steel industries.

This is a matter of survival for Odisha’s steel industry, Odisha’s economy and for lakhs of people who earn their livelihood from steel industries in the State,” Mishra informed.

According to the preemption policy, at least 50% of iron ore produced in Odisha is required to be reserved for allocation to the State based industries and supplied at the prevailing IBM price.