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he Indian Ferro Alloyindustry wasTestablished over 50years ago. The installedcapacity of the industry with acapital investment of `4,000crore in 2002-03 was about 1.7Mt of Bulk and Noble FerroAlloys. In 2002-03, Indiaproduced 1,003,371 tonnes ofBulk Ferro Alloys and 12,763tonnes of Noble Ferro Alloysand exported 182,605 tonnesof total ferro alloys earning`3,480 million tonnes in foreignexchange. The performance hasimproved remarkable during thelast seven years.Ferro Alloys are vitaladditives that are added in steelproduction for de-oxidation,grain size control, impartingspecific properties to thefinished steel and improvementin mechanical properties.Depending upon the process ofsteelmaking, product qualityenvisaged and the type of steelbeing made, the requirement offerro alloys varies widely. FerroAlloys consist of less than onepercent of the total rawmaterials required forsteelmaking but despite being avery low constituent, they play avital role in steel making.

Ferro Alloys :Ferro Alloys :Significant for Indian EconomySignificant for Indian Economy

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Demand Drivers of FerroAlloys

The major demand drivers of ferro

alloys are :

lCrude Steel Production

lAlloy and Special Steel Production

lStainless Steel Production

Types of Ferro Alloys

The product mix of Ferro Alloys

consists of :

(a) Bulk Ferro Alloys : HC Ferro

Manganese, Silico Manganese, Ferro

Silicon, HC Ferro Chrome . Charge

Chrome etc.

(b) Noble Ferro Alloys : Ferro

Molybdenum, Ferro Vanadium, Ferro

Tungsten, Ferro Silico Zirconium,

Ferro Titanium, Ferro Boron etc.

InvestmentThe Indian Ferro Alloys industry

has already invested over `60,000

million capital goods by way of plant

and machinery, employing lakhs of

people, directly and indirectly, with

annual capacity of over four million

tonnes of Bulk and Noble Ferro Alloys.

The Indian Ferro Alloy industry

earned `43,478 million in 2009-10 in

foreign exchange. According to the

Indian Ferro Alloys Producer's

Association (IFAPA), the present

capacity of the industry can easily cater

to the requirement of the domestic

steel industry to produce 120 million

tones. The present capacity is

expected to go up by over 50 percent

by 2012-13.

Location of Ferro AlloyIndustry

Ferro Alloy units in the country are

s i tua ted i n Andhra P radesh ,

Chattisgarh, Goa, Gujarat, Himachal

Pradesh, Maharashtra, Karnataka,

Meghalaya, Orissa, Pondicherry, West

Bengal and Arunachal Pradesh; of

these Manganese Alloy units are

concentrated in Andhra Pradesh,

Arunachal Pradesh, Chattisgarh,J a m m u , J h a r k h a n d , K e r a l a ,

Maharashtra, Meghalaya and West

Bengal. Ferro Silicon units are present

in Andhra Pradesh, Orissa and West

Bengal while Ferro are present in

Andhra Pradesh, Orissa and West

Bengal while Ferro Chrome units arelocated in Orissa, Andhra Pradesh andWest Bengal.Noble Ferro Alloy units areconcentrated in Andhra Pradesh,

Gujarat, Orissa and West Bengal.Ferro Alloys as De-Oxidant forSteelmaking Technology InvolvedFerro Alloys are used for de-oxidation of the steel melt and asalloying element addition depending onthe type of ferro alloy. It is the relativeaffinity of the alloying elements / de-oxidations towards oxygen at differenttemperatures that determines themethod and time of addition forachieving the optimum recovery. Ingeneral, the loss of ferro alloys ishigher when introduced in the furnace

than when added to the jet of steel or tothe ladle on tapping, opines technologyexperts. According to technologists,de-oxidents like Si-Mn, Fe-Mn, Fe-Siand aluminium are used singly or incombination depending upon the qualityof steel to be produced.For achieving the lowest level ofoxygen in steels, aluminium (Al) de-oxidation is preferred. Also, for thesilicon inclusions in steel, Si-Mn and Alare used for deoxidation whichinvolves the use of a combination ofde-oxidants and results in effectivede-oxidation.Steel technologists maintain thatthe steel melt should be free fromoxidizing slag for most satisfactory de-oxidation. Effective de-oxidation helpsin de-sulphurisation through timeadditions followed by argon/ nitrogenstirring that helps in better slag tometal in interaction.Role of Ferro Alloy Industryin Indian EconomyAccording to IFAPA, if properlynurtured and the Government plays aproactive role, the Indian Ferro Alloyindustry has the potential to make India

the hub for Ferro Alloys to the world.The contribution of the Indian FerroAlloy industry to the country'seconomy are mentioned below :A Valuable Foreign ExchangeEarnerEarnings of Ferro Alloy Industry

Are Ploughed Back to the Society

The industry has re-invested it

profits in setting up captive powe

plants, acquiring coal mines, ore mine

to and is spending huge sums on

Society by setting up residentia

complexes, schools, colleges and

hospitals etc.

Electricity Generation

Electricity generation by the

industry's CPPs is also supplied to the

Grid, thus increasing availability o

power in India

Employment to the People

It is estimated that a 50,000 / M

ferro alloy plant supports about 750

around the plant (i.e. a total of abou

60,000 families) by the Ferro Alloy

industry in India and these plants are

located in remote areas where there i

no other source of employment.

Capacities and Production of Ferro

Alloys in India : 2009-10

Capacities and production of Ferro

Alloys in India in 2009-10 were a

follows :

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Type of Alloy Capacity (Mt) Production in 2009-10 (Mt) Capacity Utilisation (%)

Manganese Alloys

Chromium Alloys

Ferro Silicon

Noble Ferro Alloys

Total

2.50

1.30

0.20

0.04

4.04

1.49

0.90

0.10

0.03

2.52

0

69

50

75

62

Capacities of Bulk Ferro Alloys in India

Capacities of Bulk Ferro Alloys in terms of MVA, number of furnaces and

number of units are furnished in Table 1.

Alloys

Manganese Alloys

Ferro Silicon

Chrome Alloys

Total Bulk Ferro Alloys

Capacity (MVA)

1574

196

880

2650

No. of Furnaces

203

30

58

291

No. of Units

98

16

30

144

Table 1 : Capacities of Bulk Ferro Alloys in India : 2008-09

Manganese Alloys

Ferro Chrome

Ferro Silicon

Total Additions

42 Units

8 Units

3 Units

980 MVA

440 MVA

54 MVA

1474 MVA

Expected Capacity Additions of BulkFerro Alloys upto 2011-12

According to IFAPA, estimates, 13Captive Power Plants with a totalcapacity of 1,000 MW may come up by2011-12.Raw MaterialsManganese OreAs per Indian Bureau of Mines(IBM), the reserves of Manganese Oreas on 01.04.2005 were as follows :

Total Inferred Reserves

Proved ReservesProbable Reserves

Total Recoverable Reserves

Ferro Manganese GradeMedium Grade

Proved Reserves Ferro Alloy Grade

378 Mt

77 Mt61 Mt

138 Mt

5 Mt8 Mt

13 Mt

Major Reserves

Major reserves of Manganese Ore

are of B.F. grade and occurs in

Maharashtra, Orissa, Madhya Pradesh,

Karnataka, Jharkhand and Goa.India's present production, as per

IBM, of Manganese Ore is over 2 Mt.

Manganese is an essential requisite

for steel production due to its special

capability of sulphur fixing de-

oxidising and good alloying properties.

Manganese alloy is introduced in

steelmaking in the form of ferro

manganese, silico manganese and

manganese metal. These are produced

by the reduction of manganese ore with

carbon / silicon at high temperatures in

blast furnaces and electric arc furnaces

(EAFs).

For production of one tonne of ferro

manganese, inputs required are : 2.6

tonnes of manganese ore, 0.5 tonne of

reductant, and 3 MWH of electricity.

Silico Manganese production is carried

out by reduction of manganese ore,

quartzite and manganese slag with

coke.

Stainless steel accounts for about

5/6 percent of the total production of

ferro manganese and silico manganese

in India. The average consumption of

manganese alloys by the Indian

stainless steel industry is about 105 Kg

per tones. As the Indian stainless steel

industry is likely to post healthy

growths in future years. The

consumption of manganese alloys will

also increase substantially. According

to ISSDA, the demand of stainless steel

will grow by 12.3 percent between2010 and 2015.

India is the seventh highest

producer of manganese ore in the

world. According to industry experts,

the Indian manganese alloy industry

has the potential to meet the challenges

despite various constraints. With thenecessary supportive measures fromthe government, the industry can movefaster towards the path of sustainablegrowth and meet the requirement of theexpanding Indian steel industry infuture.

Ava i lab i l i ty of h igh grademanganese ore is very critical for theindustry. Manganese Ore (India) Ltd. isunable to meet the increasing demandof the domestic producers and they arecompelled to import manganese ore. In2008-09, the import of manganese oreby India stood at 824,297 tonnes asagainst 686,052 tonnes in the previousyear for the production of manganesealloys.Chrome OreAccording to Indian Bureau ofMines (IBM), the reserves of ChromeOre in India as on 01.04.2005 were asfollows :

Total Inferred Reserves

Proved ReservesProbable Reserves

Total Recoverable Reserves

213 Mt

31 Mt35 Mt

66 Mt

In 2008-09, about 3.5 Mt of Chrome

Ore was produced in India. Orissa alone

producers about 98 percent of Chrome

Ore in the country.

The sale and major supplier o

Chrome Ore to the country's ferro

chrome industry is the Orissa MiningCorporation (OMC). But the supply o

chrome ore is not sufficient for the

industry. Tata Steel and other majo

Chrome Ore lease holders, have

stopped supplies to other producer

and are using their production for thei

own Ferro Chrome plants.

To avoid congestion by allotting

leases to a number of ferro chrome

producers for their captive use and in

the interest of ferro chrome industry

Government has allotted entire chrome

ore deposits in Orissa to OMC which i

a public sector undertaking, so tha

they can judiciously mine and supplythe material to the Ferro Chrome

producers in the country who do no

have their own mining leases.

OMC has now the control over abou

80 percent of the total Chrome Ore

leases in Orissa. The industry maintain

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that proper allocation is not taking

place and the units outside Orissa are

suffering. The industry, therefore, has

to depend on imports. In 2008-09

94,415 tonnes of chrome ore was

imported by India.The allocation policy of OMC is

disturbing the dynamics of the ferro

chrome industry as most of the units

located outside Orissa have made huge

investments particularly to set up their

captive power generation capacities.

The Indian Ferro Alloy Producers

Association (IFAPA) is very much

concerned with the decision to bar the

natural resources all over the country,

while exporting the some to other

countries without any restriction.

About 80 percent of High Carbon

Ferro Chrome produced in India goes

for the production of stainless steel.

With projected higher growth in

stainless steel production in the

country in the future years, the

domestic consumption of HC Ferro

Chrome will reach much higher levels.

India holds a leading position in the

world in the production of HC Ferro

Chrome as well as in its exports.

India is the third highest global

producer of Chromium Ore. Chrome

Ore is used in the production of

chromium metal and various alloys of

chromium with iron, nickel, cobalt,

tungsten, molybdenum etc. Chromiumimports strength, hardness, toughness,

magnetism, and offers resistance to

abrasion, corrosion and also acts as a

de-oxidant.

The use of chromium in steelmaking

depends on the end-use purchase. Low

Chromium steels with less than 5

percent chromium and small quantities

of nickel is used in the production of

rails, automobiles, armoured plates etc.

Intermediate steels containing up to 12

percent chromium along with small

quantities of tungsten, molybdenum or

silicon are used in high speed valves for

engines and equipment which require

resistance to abrasion, corrosion and

oxidation. High chromium steel are

stainless and super stainless steels

used for manufacture of cutlery,

cooking utensils, airports and high

speed trains.

Power

Ferro Alloy industry is highly

power intensive. IFAPA maintains that

though the generation cost of power in

India is not high, the power tariff which

has to be paid by the ferro alloyindustry is high because of cross

subsidation to agricultural sector, low

plant load factor of SEBs etc. and high

transmission and distribution (T&D)

losses which is estimated at over 35

percent.

Electricity Duty, which varies from

state to state in India creates additional

financial burden for the ferro alloy

industry. Though power sector

reforms are going on since 2003, the

impact of this development on long-

term prices of power, specially to

power intensive consumers like the

ferro alloy producers in the country, is

difficult to assess, since the electricity

market in India still remains in a stateof flux.Electricity generation by the IndianFerro Alloy industry through CaptivePower Plants (CPPs) is also supplied to

the Grid, thus helping in the increasesof availability of power in the country.The ferro alloy units are required tomaintain a minimum demand of 85percent of power in their operationThis clearly shows that the industryhas paid much more than the normapower tariff applicable for this industrywhich has earned substantial revenueto the various state Governments aswell as the Central Government.Production of Ferro Alloys inIndiaThe production of various types o

ferro alloys in India between the years2005-06 and 2009-10 are furnished inTable 2.Ferro Alloys

H.C. Ferro Manganese

M.C. Ferro Manganese

L.C. Ferro Manganese

Silico Manganese

M.C. Silico Manganese

L.C. Silico Manganese

Ferro Silicon

H.C. Ferro Chrome / Charge Chrome

L.C. Ferro Chrome

Noble Ferro Alloys

Total

2009-10

374.2

9.2

6.0

1045.2

39.2

15.4

101.9

889.1

3.5

31.3

2515.0

2008-09

370.5

8.3

5.8

845.4

31.5

14.5

99.6

814.9

2.4

27.4

2220.3

2007-08

378.0

7.5

5.7

858.6

25.0

17.8

83.7

948.4

0.2

29.7

2364.3

2006-07

281.0

9.2

6.5

738.3

29.6

15.1

92.6

801.1

0.2

27.8

2001.4

Table 2 : Production of Ferro Alloys in India : 2006-07 to 2009-10 ('000 Tonnes)

It is apparent from the above tablethat production of Ferro Alloys in Indiahas recorded a healthy growth of 13.29percent in 2009-10 over the previousyear. However, it may be mentionedthat the production in 2008-09 wasrestricted during the year due to lack ofdemand as a result of the global crisisthat started in October, 2008 andaffected India's steel industryadversely to some extent. Manganesealloys production registered a growthof over 16 percent, the output of FerroSilicon went up by a marginal 2.31percent and chrome alloys productionincreased by 9.21 percent in 2009-10over the proceeding year.

Exports of Ferro Alloys byIndia

The Indian ferro alloy industryrecorded a marginal increase of 1.8percent in exports 2009-10 over theprevious year. However, the exporearnings of Rs. 43,478 million declinedsharply 31.74 percent in 2009-10 acompared to the preceding year due toa reduction of prices in the globamarket during the year as against theprevious year.

Detailed figures of item wiseexports of various ferro alloys by Indiabetween 2006-07 and 2009-10 arepresented in Table 3.

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Ferro Alloys

HC Ferro Manganese

Silico Manganese

MC Silico ManganeseLC Silico Manganese

Ferro Silicon

HC Ferro Chrome / Charge Chrome

Ferro Molybdenum

Ferro Silico Magnesium

Ferro Aluminium

Ferro Titanium

Ferro Silico Zirconium

Total

% of Increase

Export Earnings (`Million)

% Increase in Export Earnings

2009-10

82.5

287.2

6.1

5.5

12.9

467.0

Neg.

3.0

0.5

==

==

864.7

1.81

43,478

(-) 31.74

2008-09

100.4

208.9

5.3

4.1

10.4

516.5

Neg.

3.2

0.5

==

==

849.3

(-) 5.87

63,692

45.43

2007-08

110.3

262.8

====

5.1

520.7

Neg.

2.4

1.0

==

==

902.3

55.25

43,797

134.31

2006-07

49.3

167.9

0.9

4.8

0.5

356.1

Neg.

0.6

0.7

0.4

==

581.2

==

18,962

==

Table 3 : Exports of Ferro Alloys by India : 2006-07 to 2009-10 ('000 Tonnes)

Imports of Ferro Alloys by India

Imports of ferro alloys between 2006-07 and 2009-10 are shown in Table 4.

Ferro Alloys

Ferro Manganese

Ferro Silicon

Ferro Silico Manganese

Ferro Chrome / Charge Chrome

Ferro Silico ChromeFerro Molybdenum

Ferro Vanadium

Ferro Silico Magnesium

Other Ferro Alloys

Total

% of Increase

Total Value (`Million)

% of Increase by Value Import Duty (%)

2009-10

28.6

125.1

1.4

17.7

==1.1

0.9

1.5

11.6

187.9

41.6

15,147

0

2008-09

22.0

82.8

0.2

12.4

==0.8

0.2

3.8

10.5

132.7

(-) 14.94

15,300

0

2007-08

21.8

96.3

0.5

19.3

==0.5

0.2

4.1

13.3

156.0

22.64

10,894

5.0

2006-07

12.0

86.8

0.2

19.1

0.10.3

0.5

1.8

6.4

127.2

==

7,798

7.5

Table 4 : Imports of Ferro Alloys by India : 2006-07 to 2009-10 ('000 Tonnes)

Imports of Ferro Alloys by India

have increased as and when the basic

Customs Duty has been reduced on a

rate of 7.5 percent in 2006-07, theduty has been brought down to 'NIL'

since 2008-09. This has affected the

domestic producers of ferro alloys

adversely. The Indian Ferro Alloys

Producers Association has suggested

that the government should reimpose

the Customs Duty at the rate of 10

percent on all ferro alloys excludingFerro Nickel. IFAPA has also pointedout that while the duty on ferro alloyshas been brought down to 'NIL', thesame on inputs required formanufacturing ferro alloys varies from2 to 7.5 percent.Apparent Consumption ofFerro Alloys in India

The apparent consumption of ferro

alloys in India (taking bulk and noble

ferro alloys together) between 2006-

07 and 2009-10 is shown in Table 5.

It is observed from the above tabl

that despite a growth of 16.26 percen

in exports on an average per yeabetween 2006-07 and 2009-10, the

country's average annual rate o

growth in apparent consumption o

ferro alloys during the above period

was 6.26 percent. This has happened

due to a higher production of all type

of steel in India, particularly in the

alloy steel, special steel and stainless

steel segments during the above

period.

The average annual rate of growth

in imports of ferro alloys by India

between 2006-07 and 2009-10 wa

about 15.90 percent.

SWOT Analysis of the IndianFerro Alloy Industry

According to the analysis of the

Ind ia Ferro Al loy Producer

A s s o c i a t i o n , t h e s t r e n g t h s

weaknesses, opportunities and threat

in respect of the Indian Ferro Alloy

Industry are as follows :

Strengths

lMineral Reserves

lGrowth prospect of stee

industries

lTechnical Man Power

lLow Labour CostlProximity to Consumers

lProximity to Parts for Exports

Opportunities

lBooming Steel Capacity / Market

lS c o p e f o r I m p r o v i n g

Infrastructure

lIndustrial and Economic Reforms

lCaptive Power Plants

lIncreasing Export Markets

Weakness

lHigh Cost of Capital

lHigh Cost of Power

lDependency on Reductants

lUnavailability of High Grade Ores

lLowering Import Customs Duty

lLess Importance to Research

D e v e l o p m e n t ( R & D a n

Infrastructure)

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Year Imports (I) ('000 Tonnes) Exports (E) ('000 Tonnes)Apparent Consumption

(P) + (I) (E) in 1000 tonnesProduction (P) ('000 Tonnes)

2009-10

2008-09

2007-08

2006-07

2515.0

2220.3

2364.3

2001.4

187.9

132.7

156.0

127.2

864.7

849.3

902.3

581.2

1838.2

1503.7

1618.0

1547.4

Table 5 : Apparent Consumption of Ferro Alloys in India : (2006-07 to 2009-10)

ThreatslMushrooms growth of Ferro AlloyPlantslIncreasing Imports of FerroAlloyslExports of Raw MaterialslFree Trade AgreementsNew Projects & ExpansionsSome of the new projects in theIndian Ferro Alloy sector and

expansion of capacities of the existingprojects taken up are mentionedbelow:lCoastal Ferro Alloy of AbhijitGroup is setting up a ferro manganeseunit of 352,000 tpy capacity of Haldiain the East Midnapur district of WestBengal. The unit will install 16submerged arc furnaces with acapacity of 13.5 MVA each in twophases. Phase I is stated forcompletion in 30 months from the dateof implementation. In phase eightfurnaces will be installed at aninvestment of Rs. 550 crore.lMetsil Exports has planned to setup a ferro alloy unit of 36,000 tpycapacity at Gooty in the Anantapurdistrict of Andhra Pradesh at a cost ofRs. 50 crore.lSamadadia Enterprises Ltd. hasplanned to set up a Ferro Alloy unit anda power plant at Jargarh in the Jabalpurdistrict of Madhya Pradesh at a totalinvestment of Rs. 2695 crore.lRINL and Manganese Ore (India)Ltd. (MOIL) have formed a jointventure named RINMOIL and will setup a joint venture project for producingferro alloys. The JV will come up atBabbili in the Vigianagram district ofA.P. The feasibility report has be4enprepared by MECON.lHaritha Ferro Alloys is setting upa 62,3804 tpy capacity Ferro AlloyPlant at Hakimpet in the Medak district

of Andhra Pradesh. The project will be

implemented in two phases and will

involve an investment of Rs. 350 crore.

The unit is stated for commissioning in

eight months from the zero date.

lShri Hari Ferro Alloys will

implement a Ferro Alloy unit at

Bhikanoor in the Nizamabad district of

A.P. in two phases. The first phase will

include a Ferro Silicon unit (11,088

tpy) and a Ferro Manganese unit

(14,784 tpy) and a sub-mergedelectric furnaces.

lTime Ferro Alloys is expanding

its Banjora facility in the Pankura

district of West Bengal. The expansion

programme will increase the ferro

alloy production capacity from 11,000

tpy to 34,000 tpy at an investment of

Rs. 22 crore.

lAndhra Ferro Alloy is expanding

its ferro alloy unit a Srinivasnagar in

the Vijianagram district of A.P. from 20

TPD to 100 TPD at a cost of Rs. 14

crore. The project is stated for

completion in 12 months from zero

date.

lUtkal Manufacturing and

Services, the Logistic unit of IMFA

Group has planned to expand the

capacity of its charge chrome Furnace

from 30 MVA to 60 MVA at its

Chaudwar unit in the Jaipur district of

Orissa at an investment of about Rs.

100 crore.

lBalasore Alloys, a part of Ispat

Group, is planning to expand the

capac i ty o f i t s Chrome Ore

beneficiation plant from 5000 TPM to

7500 TPM located at Balgopalpur in

the Balasore district an investment ofRs. 15 crore.

It may be mentioned have that some

of the greenfield projects may be

delayed due to land acquisition

problems and obtaining credit from

Banks and other financial institutions.

The planned new projects andexpansion of existing capacitiessignals a marginal revival of India'sferro alloy industry following a majoslowdown after October, 2008 due tothe global economic crisis.Constraints Faced by the IndianFerro Alloy IndustryThe Indian Ferro Alloy Industry isfacing many constraints, some owhich are highlighted below :lThe Indian Ferro Alloy industryhas invested over Rs. 5,000 crore andit provides employment to about 2.4lakh people both directly andindirectly. The industry has createdadequate capacity to meet thedomestic demand as well as to makesubstantial quantity of exports.lAbout 38 percent of the totainstalled capacity remained idle in2009-10 for a decline in domesticdemand, high price and scarcity ochromium and Manganese Ores.lCustoms Duty on Ferro Alloys has

been reduced to zero, which hasopened flood gates of imports at lowercost from China, Kazakhstan, Russiaand South Africa.lFerro Alloy is a power intensiveindustry. The cost of power in Indiavaries from 245 to 490 paise per uniwhereas in China is 150 paiseKazakhstan 78 paise, Russia 85paise and South Africa 105 paise.lThe Customs Duty on imports oFerro Alloys in 'NIL' at presenwhereas the Duty on inputs requiredfor manufacturing Ferro Alloy variesfrom 2 to 7.5 percent.lStiff rise in the cost of rawmaterials and other inputslIncrease in Road and Railwayfreight and non-availability of railwaywagons as per requirements.Major Suggestions of Indian

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F e r r o A l l o y P r od u c e r sAssociation (IFAPA)

The IFAPA has made various

suggestions to the Government to help

the Indian Ferro Alloy industry for its

healthy growth and make it globallycompetitive. Some of these are

mentioned below :

lThe Government should

reimpose the Customs Duty at 10

percent on all ferro alloy excluding

Ferro Nickel.

lThe Government has reduced the

import duty on Ferro Alloy to zero.

IFAPA maintains that it is imperative

that inputs like Manganese Ore,

Chrome Ore, Vanadium Pentoxide and

other ores under Chapter 26 of

Customs Tariff as also the duty on

anthracide coal should be broughtdown to zero percent to reduce the

cost of manufacturing of all Ferro

Alloys.

lExports of Manganese Ore,Chrome Ore and concentrates shouldbe s t opped immed i a t e l y f o rconserving them for use by the ferroalloy and steel industry in future.lThe Geological Survey of India(GSI) and Indian Bureau of Mines (IBM)should undertake further explorationof Chrome Ore deposits beyond 100meter depth seriously and evaluate itsexpected life for the country.lThe Government should handover the work of further mineralexploration to private parties withrequisite experience and havingmodern mining technology in theirfold. Government should also initiatefast track exploration programme likeAreal Survey to look into potentialdeposits which needs furtherexploration proving deposits.ConclusionThe Indian ferro allow industry has

maintained a steady growth despite

various constraints. The industry'

earning valuable foreign exchange

through exports and has performed

creditably in the Corporate Socia

Responsibility (CSR) area.The Indian Ferro Alloy Producer

Association (IFAPA) has made some

va luab le sugges t i ons to the

Government for a healthy growth o

this vital Industry. The Government

on its part, should consider these

suggestion seriously and take

proactive steps to solve the problems

faced by the industry which in turn wil

help the country's steel industry a

well.

Acknowledgement

Article presented by T. S. Sunderasan, Secretath

General, IFAPA at the 9 Asian Steel Conference helthon 19 20 March 2010 in Mumbai and his articl

published in JPC Bulletin August 2010 issues.