The ministry has summoned steel producers tomorrow to discuss retail prices and export figures. According to industry sources, the meeting has been summoned on the basis of the price data provided by the Joint Plant Committee (JPC).

JPC figures indicate that hot rolled coil (HRC) prices are currently Rs 44,000-47,450 per tonne whereas the industry claims that prices are around Rs 35,000 per tonne. HRC (2.00 mm thickness) prices were at Rs 47,450 per tonne in Kolkata market, according to JPC figures.

"We have challenged JPC data. They are providing data collected from small traders at the mandi and not data provided by us on a fortnightly basis," said a primary steel producer.

The move to call the steel producers come at a time when the industry is contemplating increasing prices from the next month, when the commitment will come to an end. The industry had agreed to hold prices for three months to help the government rein in inflation.

As far as indications go, the increase next month could be hefty in the wake of increasing input costs. Iron ore prices were being settled in the international market at prices higher by 96.5 per cent over previous contracts and coke prices had increased more than $100 per tonne since May.

The international iron ore prices were also likely to be the benchmark for domestic prices, including NMDC, which supplies to some of the major primary steel producers without captive mines like JSW Steel, Essar Steel, Ispat Industries in the private sector and Rashtriya Ispat Nigam Ltd in the public sector.

However, the inflation figures show no sign of respite and steel products have a weight of 3.63 per cent in the wholesale price index, which could have prompted the steel ministry to act in advance.