Paswan warns steel dealers against selling over market rates

July 16th, 2008 - 3:29 pm ICT by IANS  

New Delhi, July 16 (IANS) Action would be taken against dealers selling steel products at prices higher than market rates, steel minister Ram Vilas Paswan said here Wednesday. “Certain dealers and traders have sold the flat steel products at higher than market price, taking advantage of the high demand in the retail market,” Paswan said while addressing a conclave on steel organised by the Federation of Indian Chambers of Commerce and Industry (Ficci).

“We will take up very severely with such market manipulation. We have already directed the public sector undertaking steel companies to keep a strict watch on such malpractice,” he said.

Referring to the stable steel prices in the domestic market, Paswan said steel companies continue to cooperate with the government by maintaining the current level of steel prices.

“Indian steel majors have kept up their assurance by maintaining their prices until now. I hope they will continue to support the government’s effort in managing the ongoing inflationary trend in the country.”

Tata Steel managing director B. Muthuraman, in his address, wanted to know whether the benefit of reduction in steel prices was reflecting in the final prices, most critical for consumers.

“If the price of steel is low, its benefit should pass on to the consumer. Is it really happening?” Muthuraman asked while underlining the need for a long-term strategy to develop India’s steel capacity further.

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