Reeling under serious raw material crises,steel makers in Chhattisgarh want Odisha model in the state for their survival.
Mr Anil Nachrani President of Chhattisgarh Sponge Iron Manufacturer's Association said that"We demand the state government of Chhattisgarh to immediately issue similar order to ensure supply of 50%iron ore to the local industries."
He said that this would bail out the local industries from the crises.
The Odisha government in its recent order had directed that at least 50%of the iron ore lumps and 50%of the iron ore fines won from the mines in any month and not put to captive use by the lessees should be sold to the stand alone mineral based industries located in the state.The instruction shall be effective from December 2012 till further order.
The Odisha government's initiative had armed Chhattisgarh steel makers to demand similar move by the state government for the survival of the units.
The state has 100 sponge iron units and equal number of steel facilities.But most of the units are running under production while many are on the verge of closure following shortage of raw material.
The state's units required about 12 million tonnes of iron ore per annum.They are getting 3 million tonne from state owned National Mineral Development Corporation that has major mining operation in the state.The industrialists were purchasing iron ore from Odisha to meet their demand of raw material.