News  STEEL & METAL NEWS

SAIL seeks NITI help to resolve differences with ArcelorMittal

457 times viewed
Source: PTI
Monday, June 26, 2017

 NEW DELHI: The country's largest steel maker SAIL has sought help from government think-tank NITI Aayog to resolve differences with ArcelorMittal over setting up of about Rs 5,000-crore autograde steel plant. 


"SAIL has written to NITI Aayog to find a solution," an official privy to the development said. 

There were differences between the two companies on certain points under the Memorandum of Understanding, so it was decided to extend it for another three months from the deadline of May 31, 2017, the official said. 

"After the expiry of MoU, both the companies have extended the pact to conclude the deal," the official added. 

SAIL could not be reached for comments. 

"Now, they (both companies) are thinking of resolving the issue under the guidance of steel ministry and NITI Aayog has also stepped in," the official added. 
 

A query sent to ArcelorMittal also went unanswered. 

"Earlier, ArcelorMittal was hell bent on its terms and conditions. But now, it is not stringent in its demands and I think the deal is on its right track," the official further said. 

The much-awaited joint venture (JV) between steel giant ArcelorMittal and state-run SAIL will also focus on producing specialised grade steel products for defence, space and automobiles. 

In May last year, an inter-ministerial group (IMG) had reviewed the progress of MoU. 

The proposed JV will construct a cold rolling mill and other downstream finishing facilities in India, touted as one of the fastest-growing automotive markets in the world with production expected to double between 2014 and 2020, from 3.6 million units to 7.3 million units. 

In an investor presentation in June 2015, ArcelorMittal had said the proposed steel plant will come up at a major auto cluster in in India. 

India has four major auto clusters -- Pune-Chakan belt in Maharashtra, the outskirts of Chennai in Tamil Nadu, Sanand in Gujarat and the Gurgaon-Neemrana belt spread across Haryana and Rajasthan. 



Comments:



Post Your Comment:

Name:*
    
E-mail:*
    
Comments:*
    


Also Read:

»

ArcelorMittal says 29% in Uttam Galva no hindrance to stressed asset bidding

»

Moody's upbeat on steel sector,says Tata Steel to benefit most

»

Finished steel exports surge 45% in October; imports rise 11.5%

»

Birender Singh urges MECON to play a key role in enhancing steel consumption in India

»

Thyssenkrupp-Tata merger puts fate of UK's top steel plant at risk amid dismal earnings

»

Hindalco to Expand Novelis' US, China Capacities to meet automotive demand

»

US starts probe into steel flanges from China, India

»

SAIL supplies 20,000 tonnes of steel for Lucknow Metro Rail Project

»

Tata Steel to focus on India going forward: N Chandrasekaran

»

NCLT to pronounce Essar Steel’s insolvency order on Wednesday

News  NEWS ARCHIVE
   
Home | Recent News | Privacy Policy | Disclaimer | Feedback | Sitemap | Contact Us

© Copyright Power Hub 2012-2014, All rights reserved.