The Union Government appears to have come closer to prefer auction for mineral resource allocations.

Syedain Abbasi, Joint Secretary of the Ministry of Steel, said here on Friday that the Government was veering around to the idea of auction as the preferred method of allocating resource deposits for mining such as iron ore and coal.

Large-scale irregularities in resource allocation in the past have prompted the new Government at the Centre to look various issues involving mining sector.

“The iron ore policy, which was in the making could, prefer auction (for resource allocation) in the known mineralised area,” he said at a Bengal Chamber function.

The Government was also looking for changes in the environmental regulations relating to mineral resource exploitation. “The changes could be made within the next six months," the official said.

He said there are almost 80 suggestions from the resource users for streamlining environment regulations. The Government was looking into them. Suggestion have been made regarding subjects such as automatic renewal for clearances for broken up area, deemed renewals and compensations.

Talking to media persons after the event, Abbsi said the Government was watchful as there is around 23 per cent rise in steel product import, particularly of alloy steel rebars from China, during the period between April and August. “It is a cause of concern,” he said. The Steel Ministry has alerted the Customs Department to check the standards and match the quality certifications of the imports.

“If the trend continues, we may consider antidumping duty," he explained. Under WTO norms, India has enough room for raising import duty on steel items, he added.

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