According to the official, the discussions were aimed at solving the problem of the consistently low level of use of 60-65 percent in pellet production enterprises in the country. Leading steel and mining companies participated in the consultations, including Steel Authority of India Limited (SAIL), JSW Steel, Jindal Steel, ArcelorMittal Nippon Steel India, Rungta Mines and KIOCL Limited.
Industry seeks fiscal support and policy clarity
The consultations focused on several key issues, such as the non-viability of iron ore processing, tailings disposal issues, and the impact of pellet imports on the domestic use of the plant. Industry representatives stressed that declaring the average selling price (ASP) for low-grade ore with a Fe content below 45 percent would help improve competitiveness. They also proposed to introduce an export tax on iron ore with a Fe content below 58 percent, as well as tax breaks on imported processing equipment to reduce capital costs.
Other recommendations included making it easier to clear land for tailings disposal, removing tailings and residues from the limits of the mine's production capacity, and providing a five percent incentive for royalties for enriched ore. The industry has also called for rationalization.
