Govt to examine steel players' demand for MIP on steel: Official

The government will examine domestic steel companies' demand for imposing minimum import price (MIP) on the metal, an official said.

In a meeting on February 6, major steel players, including state-owned Steel Authority of India Ltd (SAIL) and JSW Steel, requested the steel ministry to impose an MIP on all steel products, amid a surge in imports from countries such as Indonesia and rising raw material costs, which are putting pressure on margins.

The MIP is the rate below which no imports are allowed.

"The situation has to be examined carefully. The ministry will first examine then only take some action," a steel ministry official said when asked whether the ministry is in favour of imposing MIP on steel imports.

The official, who did not wish to be named, added: "Everything happens after examination. If there is a requirement, we will definitely do it. If not required, we will not do. There has not been any due diligence yet."