Tribune press service
Ludhiana, June 16
The Federation of Industrial and Commercial Organizations (FICO) sent a communication to Prime Minister Narendra Modi, demanding immediate attention on the issue of rising steel prices.
The organization said the government should take appropriate steps to review the business strategies of steel companies to see if they have carteled to artificially raise prices.
Organization chief Gurmeet Kulas, Secretary General Rajiv Jain and President KK Seth said steel companies blamed the sharp rise in the cost of raw materials on soaring iron ore prices.
“The steel giants who have the monopoly export as much as possible to get the maximum profit. Dependent domestic manufacturers are the most affected because steel is available to them at exorbitant prices. The sharp rise in steel prices is not market driven. Stimulus plans have increased consumption on the world market ”, reads the communication.
Steel prices are reaching all-time highs due to increased demand against a backdrop of low production allocation for the domestic market coupled with minimal imports due to import restrictions imposed by the Center. – TNS