India seeks relief for local consumers, without directly intervening in high prices

India seeks relief for local consumers, without directly intervening in high prices

With regard to the ongoing rising trend in the country, the Indian Government explained that it does not plan to directly intervene in to check the prices as it is a natural result of the increasing trend experienced in the international markets. Besides, after following a continous rising trend, the domestic prices are seen as starting to stabilise in India, according to some officials. However, the Steel Ministry has asked the steel producers to act reasonable with the price rises they effect in the domestic industry, not to leave the Indian steel consumers in a difficult situation. Furthermore, the Steel Ministry had the steel items deleted from the coverage of a certain regulation that requires importers to obtain certification from the Bureau of Indian Standards (BIS), allowing the consumers a quicker access to their steel requirements. Such situation is expected to have a stabilising effect on steel prices. These steps are all taken by the Steel Ministry of India with the intention to support steel consumption in the country, taking the per capita consumption from the current 29kg per annum closer to that of 400kg levels of the developed countries. Steel production is expected to reach 35 million mts this year, over the 33 million mts produced last year. India foresees a 30 million mt consumption within the country and 5 million mts export tonnage.