SAIL Chairman C. S. Verma's reaction to the Budget

New Delhi, 28 February, 2011

"The Budget is firmly growth-oriented and has various positives for the steel industry.

The Govt’s continued thrust on development of infrastructure and manufacturing will help steel demand in the country to grow. Besides, higher support for the housing sector is a step in the positive direction.

"Higher export duty on iron ore has been a long pending demand of the steel industry and the Budget has taken care of the issue by increasing the export duty to 20%. This should ensure higher availability of iron ore for the Indian steel industry.

Again, withdrawal of export duty on pellets should encourage installation of pellet plants by mining companies. More pellet plants in the country will also benefit the steel industry.

"Further, reduction in surcharge on income tax from 7.5% to 5% will have a positive impact on domestic companies, making available disposable surplus for investment. The proposed Constitutional Amendment Bill on GST is also a welcome development."

Vale starts trial runs of iron ore palletizing plant in Oman

Saturday, 19 Feb 2011

It is reported that Brazilian miner Vale SA has started test production at a new USD 1.356 billion iron ore palletizing complex in Oman.

Commercial production at the first pellet plant now being started up is due in March and the first product shipment is expected in May.

Vale's Oman industrial complex includes two pelletizing plants each with a capacity of 4.5 million tonnes a year of direct reduction pellets for use in steelmaking, as well as a distribution center with capacity to handle 40 million tonnes a year of pellets and a deep water bulk jetty, which will be used exclusively by Vale.


The company has also signed a long term accord with the Oman Shipping Company for construction of four 400,000 tonne capacity iron ore carriers for Vale's exclusive use.