The constraint of raw materials, especially iron ore, was also highlighted by A P Choudhary, CMD Rashtriya ispat Nigaam Ltd. He urged the government to allow captive mines or else facilitate low priced iron ore to steel makers.
Chandrajit Banerjee, CII Director General, expressed hope that the proposed new National Steel Policy would address several concerns of the industry as represented by CII. These include the need for inter-ministerial groups, allaying land acquisition concerns, R&D and the human resource challenge of skills shortage.
Further, projects worth over Rs 400 thousand crore were delayed, some for more than year, he added. With cost of land acquisition likely to increase 3-3.5 times, industrial projects may be rendered unviable. Delays are also on account of the high levels of consent laid out in the bill and the retrospective applicability of the bill.
The Twelfth Five Year Plan envisages Rs 1 trillion investment in infrastructure which translates into steel demand of $15 billion. The deliberations at CII Steel Summit will seek to inform policymakers and industry alike of the opportunities, challenges and solutions.