Jajpur: Metal industries in Odisha have urged the state authorities to bail them out from the excessive value of uncooked supplies together with iron ore.
Iron ore manufacturing in Odisha has dropped by over 31 million tonnes from 142 million tonnes in 2019-20 to 111 million tonnes within the 2020-21 monetary yr, in line with official information.
Because of much less manufacturing and enhance in exports, the native industries need to pay round Rs 10,000 per tonne of iron ore compared to Rs 2,200 per MT in June final yr.
They claimed that resulting from an unprecedented enhance within the value of the iron ore, lots of the models had grow to be unviable or on the verge of closure.
Trade our bodies just like the Orissa Sponge Iron Producers’ Affiliation and the Kalinga Nagar Industries Affiliation have already taken up the matter with Chief Minister Naveen Patnaik, chief secretary and the Metal and Mines secretary to maintain iron ore costs at an affordable stage in order that iron and metal industries within the state might survive and make some margin.
“There ought to be a hike within the manufacturing of iron ore. Secondly, captive miners shouldn’t participate within the public sale course of,” Kalinga Nagar Industries Affiliation president P L Kandoi mentioned. He mentioned there ought to be a particular provision for honest value of iron ore for the LTL (lower than truckload) patrons in order that iron and metal industries within the state can survive and make some margin.
Odisha Sponge Iron Manufacturing Affiliation president Yogesh Dalmia additionally opposed the present public sale course of, saying that the public sale of iron ore by the state-owned OMC ought to be made on a month-to-month and never bi-monthly foundation.
Regardless of the public sale, 80 per cent of the iron ore ought to be reserved for Odisha-based industries, Dalmia mentioned.