The Federation of Karnataka Chambers of Commerce and Industry (FKCCI) on Friday appealed to Union Minister for Mines and Steel Narendra Singh Tomar to allot captive iron ore mines for existing industries.

In a memorandum to Mr. Tomar, who is also Minister for Labour and Employment, FKCCI president S. Sampathraman said that, besides this, coal linkages ought to be provided for sponge iron industries. Considering the inability of small and medium units to compete with large units, on procurement of raw materials, level playing conditions should be evolved.

Calling for measures to ensure continuous supply of raw material, available in and around Bellary, Chitradurga and Tumkur, the federation said mining leases should be granted to units based on their capacities.

FKCCI also highlighted the importance of extending financial support to enterprises that had turned sick on account of non-availability of raw materials. Banks and financial institutions should be directed to offer rehabilitation package to small and medium sponge iron industries.

The memorandum wanted exports of iron ore to be stopped. Only value-added steel and sponge iron should be exported. Byproducts of iron ore mines, it said, must to be sold directly to cement plants, pellet and beneficiation plants.

Keywords: FKCCIiron ore

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