Minimum import price should continue: Tata Steel MD

He said that the world was having excess capacity in some markets where the demand for steel was low due to sluggish economic conditions.

Tata Steel on Saturday said the imposition of minimum import price to prevent cheap imports should continue in the interest of domestic industry.

“As an industry representative, I should say that the MIP should continue,” Tata Steel MD T V Narendran told reporters on the sidelines of an event in Kolkata.

The Centre imposed minimum import price (MIP) on import of 173 steel items for six months from February this year.

“From the steel industry point of view, the MIP has been useful. The industry is of the view to protect the huge investments made in this sector so far, the MIP should stay on”, he said.

He said that the world was having excess capacity in some markets where the demand for steel was low due to sluggish economic conditions.

Narendran said that the industry was also reeling under price volatility. “The steel industry continues to be volatile. This is likely to continue till the problem of excess capacity was no more”.

Regarding Kalinganagar plant in Odhisa, he said that production would be ramped up.

Tata Steel commissioned the plant with an annual capacity of three million tonnes per annum.