New Delhi: Government has convened a meeting of major steel producers next week to sort out issues impeding their mega investment plans in the country, even as it expects projects worth Rs 2,80,000 crore by 2011-12.

"Steel Minister Ram Vilas Paswan has convened a meeting of leading steel producers and state Chief Secretaries next week to sort out issues pertaining to their mega investment and expansion plans in the country," a top Steel Ministry official said.

The Steel Minister would also assess the progress made by these producers in implementing their mega projects both greenfield and brownfield ones, he said.

He pointed out that Chief Secretaries of mineral-rich states of Jharkhand, Orissa, Chhattisgarh, Karnataka and West Bengal too have been invited to participate in this meeting and share their views on translating these promised investments on the ground, he said.

Among those companies invited to participate were Rashtriya Ispat Nigam Ltd, Steel Authority of India Ltd, JSW, Essar, Tata Steel, Ispat, Posco, ArcelorMittal, Bhushan Steel and Power Ltd among others.

"The Steel Ministry is concerned that the demand for the commodity was growing at a phenomenal rate and would begin growing by 14 per cent soon while the supply side was growing at less than 6 per cent. So, there is an express need to bridge the demand-supply gap," the official pointed out.

The Ministry is envisaging investment in the sector to the tune of a whopping Rs 2,80,000 crore by 2011-12,he said and pointed out that the government expected steel production to reach more than 100 million tonnes by 2011-12.
Source : PTI