Govt says new steel policy being drafted; no time-frame given

Updated: Aug 13 2014, 07:14am hrs
A new national steel policy that seeks to replace the existing nine-year old rules is being drafted, the government on Monday informed Parliament.

However, MoS for steel and mines Vishnu Deo Sai, in a written reply to the Lok Sabha, said "no definite time-frame could be given at this stage".

"No, Madam," he said to a question on whether the government has constituted a task force to review the

existing National Steel Policy, 2005. "A new steel policy

is being drafted to replace

the National Steel Policy, 2005, the process of which

is on," he added.

As per the 2005 Policy, the total production of steel was projected at 110 million tonne by 2019-20.

"The new policy is in draft stage and it is not possible to give any projection for either steel production or the corresponding iron ore requirement,"he said.

Replying to another question, he said, "It has been noted that the FTAs signed with Korea and Japan have led to sharp increases in imports in competing product areas, thereby adversely affecting the steel industry".

To safeguard interests of the domestic industry, the government continuously monitors international trade on several items including steel and has been taking corrective measures through fiscal and other policy initiatives, wherever necessary, he added.

India imported steel worth $1,709 million in the first two months of the current fiscal. Imports from Japan and Korea were cumulatively valued at $390 million during April and May, Sai said.