The Indian steel industry has sought the easing of the norm requiring mandatory G2 level of exploration before iron ore blocks can be put up for auction, an official at India's Ministry of Mines said on Tuesday, July 24.
The official said that the Indian steel industry as represented by Indian Steel Alliance (ISA) has pointed out that mandatory requirement of G2 level of exploration is delaying the process of putting more iron ore blocks up for auction and that the Ministry of Mines should ease the exploration level to G1 so that a greater number of iron ore blocks can be put up for auction.
The Ministry of Mines is examining the suggestion from the steel industry and will hold consultations with its counterparts at the Ministry of Steel to facilitate such an option, the official added.
At the same time, the domestic steel industry has sought that iron ore blocks be reserved for those companies which have steelmaking capacities, pointing out that 75 percent of local steel producers in the country do not have captive iron ore mines, the official said.