Policies for Availability of Iron Ore/Chrome Ore to Iron Ore Based Industries of Odisha

Policies for availability of Iron Ore/Chrome ore to Iron Ore based Industries of Odisha

Long term Linkage

Govt. of Odisha have introduced the policy for Long term linkage of Iron Ore, Chrome Ore and other mineral to State based Iron ore Industries of Odisha through M/s Odisha Mining Corporation(OMC).

IRON ORE LINKAGES.

50% to 70% of saleable stock will be placed under Long –term linkage for MoU-signed Steel Plants
Remaining 30% goes in National e-Auction to be conducted by OMC at an suitable intervals ie. monthly/bi-monthly/quarterly.
MOU-signed Steel Plant with whom long-term linkage will be established by OMC can also take part in National e-auction.
Within the MoU –signed Steel Plants, Blast Furnace based Integrated Steel Plants will be given priority over others.
MoU-signed Steel Plants which are already in operation will be given preference over MoU-signed plants which are yet to be commissioned.

CHROME ORE LINKAGE

70% of saleable stock will be made available for long-term linkage to State-based end users.
Remaining 30% of saleable stock shall be sold through National e-Auction .
State –based end-user plants having long-term linkage can also take part in National e-Auction.
OMC will ensure requirement of Chromite supply to all State based Industries.

Pre-emption Policy

In order to make ore available to the end user Industries, Govt. have implemented the pre-emption policy mandating the stand alone iron ore lessees to sale at least 50% of their production to the sate based Industries for which Directorate of Mines is the Nodal agency.

Functioning of Steel Directorate of Odisha

Hon’ble Minister for Steel and Mines,Govt. OF Odisha ShriPrafulla Kumar Mallik has inaugurated a New Directorate of Steel on 15th July 2016 .The Directorate is functioning under administrative control of Steel and Mines Department , Govt of Odisha..The Directorate is headed by a Special Secretary Govt. of Odisha who is designated as Director Steel along with three executives ie. Advisor Steel, Consultant Steel and Consultant MIS on contract basis. The objective of the Directorate is as under:

To coordinate with the steel industries (both existing as well as proposed units) in the State to assist in addressing the issues relating to such investments, in coordination with the IPICOL.
To monitor the implementation of MoUsigned steel industries for expediting the investments.
To regularly interact with the existing steel units with a view to identifying the problems and issues relating to optimal capacity utilization.
To maintain a database on investments, production, employment etc. in the steel sector in the State.
To monitor the availability of assured supply of raw material to the steel industry.
To assist the Department in policy matters relating to steel industry.