Govt to set up IMG for facilitating investments in steel

The Govt decides to set up an Inter-Ministerial Group to suggest measures to ensure early completion for major investments in the sector.

Amid reports of difficulties being faced by foreign steel giants in setting up their projects in India, the government has decided to set up an Inter-Ministerial Group (IMG) to suggest measures to ensure early completion of major investments in the sector.

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"Prime Minister Manmohan Singh has approved the constitution of an Inter-Ministerial Group to monitor and coordiate issues concerning major steel investments in the country. The IMG has been mandated to review measures for early completion of major steel capacities," a top Steel Ministry official told PTI.

He said the IMG would also delve on the infrastructure constraints impeding investments in the steel sector and suggest measures to improve road, rail and ports network besides hinterland connectivity.

"The IMG would also ponder on the availability of coal and iron ore in the country and recommend measures to ensure their due availability to fructify the investments," he said.

In fact, Korean steel giant Posco and ArcelorMittal have made it clear that they would require captive iron ore mines to operationalise their mega projects in Orissa and Jharkhand.

The IMG comprising Secretaries of the concerned central government departments will also suggest ways for speedy environmental clearance for the projects and ensure availability of land, water resources and issues on relief and rehabilitation, the official said.

IMG comprises secretaries from the ministries of steel, DIPP, railways, shipping, road transport and highways, mines and environment and forests, besides chief secretaries of concerned states, he added.