NPAs iron ore export move fears steel firms
After Karnataka miners' threat to move to the Supreme Court (SC) this week to allow them to export iron ore, the state steel manufacturers have also gone aggressive in their opposition to it. The CFO of the major steel producer said in order to survive and stay competitive, JSW Steel and others are currently sourcing part of their iron ore demand from states like Odisha and Chhattisgarh. State miners, on the other hand, have claimed that local steel makers were not buying from them at the e-auctions, which had led to a bulk of the commodity remaining unsold. According to reports, current fiscal saw only 25% of its iron ore being sold through e-auctions. It alleged that its sales had dropped mainly because of non-participation of major steel producers. In May NMDC's had produced 1.44 million tonnes of iron ore in Karnataka but could sell only 0.52 million tonne. The same period had seen demand for iron ore in Chhattisgarh at 4.01 million tonne outstripping supply of 3.09 million tonne, as per official data.
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