Iron ore industry demands market driven price

Centre plans to cap the price in order to make cheaper raw material available to the steel industry

Just when the domestic iron ore industry has started recovering from a slowdown in demand, the central government is planning to cap the price of the natural resource in order to make cheaper raw material available to the steel industry. But the iron industry wants prices to be market determined.

Over-supply of iron ore from China had kept prices muted in the past. However, with the improvement in demand from China, prices have seen an upward movement.

According to sources, the central government is planning to cap the price of iron ore, which would enable steel producers to procure the raw material