Jindal Steel sets up office in Mongolia for mining activities

Steel manufacturing companies, Jindal Steel and Mesco Steel, have shown a keen interest in mining activities in Mongolia, a top Mongolian government official said today.

"Several Indian companies, namely Jindal Steel and Mesco Steel, have showed a keen interest in mining projects in Mongolia," its Ambassador Voroshilov Enkhbold told reporters on the sidelines of an event here.

Jindal Steel has already set up its office in Mongolia, Enkhbold said.

Mongolia is one of the 10 richest countries having coking coal and iron ore reserves. The Mongolian government has recently drafted and finalised its mining policy, he said.

In recent fast, overall economic growth in India and liberalisation of the Mongolian economy create a favourable environment for strengthening bilateral trade and other economic links, he said.

Mongolia's bilateral trade with India is expected to double to $32 million in the current year, Enkhbold said, adding that the steel mining projects may increase the trade to $100 million in the next 2-3 years.

The Mongolian economy is based on a stronger performance in the mining and quarrying, agriculture, hunting and forestry, retail trade, transport, storage and communications sectors, he said.