Sesa and JSW accuse each other of iron ore price monopoly

War of words between metallurgical and mining companies in Karnataka has been heating up throughout the year. The two largest firms Sesa Sterlite and JSW Steel accuse each other of abusing their dominant position in the iron ore market and forming cartels, cust-service.com .

Leading private iron ore producer Sesa Sterlite claims that JSW Steel, the largest steel producer in Karnataka, manipulates iron ore prices by abusing its dominance in the local market.

Calling the accusations false and unfounded, JSW Steel said Karnataka's mining companies are driven by "greed" to unfairly set higher prices for iron ore. And they spread misleading information to distract attention.

Prices in each country are governed by different parameters and applicable regulations. The following actions should lead to the appointment of price regulators in the Supreme Court, according to representatives of these and other companies. Since the fixing of the base price at Rs 5,000 per ton is the final nail in the coffin of the steel companies. They have no choice but to inform the authorities about the behavior of some private mining companies.

The claims by the two companies have passed as Sesa Sterlite fixed the base price of its 61 percent Fe iron ore at Rs 5,000 per tonne in a recent electronic auction. This led to accusations between steelmakers and mining companies in Karnataka of cartelization.