Leading steel producing countries exporting products even at price below cost of production: Sai

New Delhi, Mar 17 (KNN) Due to the excess capacity in many of the leading steel producing countries like China, Japan, Russia, Korea etc. these countries export steel products into growing markets like India, even at below cost of production, resulting in the prices of imported items being much lower than their domestic prices, Minister of State for Steel, Vishnu Deo Sai told Parliament.

In reply to a question Rajya Sabha on Wednesday, the Minister said steel being a deregulated sector, the role of Government is limited to that of a facilitator for the growth of steel industry in the country.

Production, import, export etc. of various steel items are, therefore, solely depend on the decision of individual steel manufacturer and the Government has not imposed any quantitative restrictions on them.

As per available information, presently there is glut in global steel market, he said.

In order to check steel dumping in the country, the government has taken various steps including recent imposition of minimum import price on as many as 173 steel products. 

On one hand the big steel manufacturers are happy with the decision, while on the other hand the downstream steel industry has been raising serious concerns over MIP.

They associations for MSMEs have been writing to the government to call back the MIP saying that there cost of production has immensely gone up. (KNN Bureau)