Affected by rising steel prices, the Indian forge industry has asked steelmakers to price their product rationally. The industry has threatened to approach the anti-monopoly Monopolies and Restrictive Trade Practices Commission (MRTPC) if steelmakers fail to do so.
According to Vidyashankar Krishnan, president of the Association of Indian Forging Industry, steel price increases during the past four months have hit forgers hard. “If this continues, we will have to approach MRTPC commission for redress against steelmakers,” he said.
According to Krishnan, steel prices in the country have shot up 33%, which has had a crippling effect on the forge industry. He said the government will have to either ban steel exports or levy export duty besides either stopping exports or iron ore or levying duty on export of the mineral.
Krishnan has refuted the contention of domestic steelmakers that they always have to peg prices of their product in relation to international price. He said that the Chinese industry never does so, and that is why it is thriving.
“We have had to revise (growth in exports) down due to steep increase in steel prices and further possible hikes,” Krishnan said.