The mini steel plants in West Bengal have sought immediate intervention of the State government for an early resumption of the supply of iron ore from the mines located in Joda area in Orissa.

The supply to the plants has remained suspended for over three weeks now following an order issued by the Deputy Director (Mines), Joda, Government of Orissa. The order prohibits transportation of the ore from Joda mines to consuming units outside the State.

“We sincerely want the West Bengal government to take up the matter with the Orissa government and has accordingly sought an appointment with the West Bengal Industry Minister, Mr Partha Chatterjee,” a spokesman for West Bengal Iron & Steel Manufacturers Welfare Association told Business Line . “Meanwhile, we have sent a note to him explaining our plight and seeking his help.”

The Joda DDM's order, he felt, was arbitrary as the consuming units located outside Orissa were not given a chance to present their views before the restriction was clamped. There are about 60 mini steel plants in West Bengal, consuming an estimated one lakh tonnes of ore daily and employing about 20,000 people directly and another 30,000 or so indirectly.

They face an uncertain future, more so because the entire ore consumed by these units comes from the mines at Joda. Right now the units are operating below capacity. “We're somehow managing with low-grade ore from Jharkhand but this could not continue for long,” the spokesman observed.

The association representatives met the Steel Secretary of Orissa about 10 days ago and received assurance of an early resumption of supply. “We've submitted documents as required but nothing has happened so far,” the spokesman added.

Related Topics
comment COMMENT NOW