Date:28/09/2004 URL: http://www.thehindubusinessline.com/2004/09/28/stories/2004092802750400.htm

Back ISA asks Govt for `reasonable protection'

Our Bureau

New Delhi , Sept. 27

THE Indian Steel Alliance (ISA) has urged the Government to ensure availability of quality raw materials such as iron ore and coke for the steel manufacturers, as well as protect the domestic industry from foreign competition. The ISA has said that the Government should focus on these broad areas, while formulating the National Steel Policy 2004.

In its recommendations to the Ministry of Steel, the ISA has stated that the Government should give a "reasonable amount of protection" to the domestic steel industry in the form of import duties as is done by other developed countries. The steel body has addedthat there should be a consistent policy for iron ore exports that gives priority to the domestic industry.

Regarding the proposed capacity expansion envisaged by 2011-12, the ISA has said that this would require an additional investment of Rs 75,000 crore and thus it is necessary for the Government to build up investors' confidence through consistent policies.

It also recommended that the Government must extend the current thrust on infrastructure development to rural India.