'You don't want a rare earth magnet story': Goyal slams steel industry for ignoring local suppliers

Union minister Piyush Goyal

Union commerce and industry minister Piyush Goyal on September 9 slammed the steel industry for prioritising “savings of few dollars” instead of supporting local companies for met coke supplies.

The minister also warned the industry if they don’t support local suppliers, steel firms could witness a shortage situation similar to what rare earth-dependent companies faced following China’s export curbs.

“Possibly the steel industry deserved the safeguard duty at least a few months before it was put up. But when met coke needed protection, I did not get support from the steel industry. For a few dollars savings, you preferred to import met coke and almost brought the entire met coke industry on its knees - killed it,” Goyal said during at a Steel Conclave.

The minister said the industry did not realise that the steel companies will be at the mercy of foreign companies if they don’t buy from Indian met coke suppliers.

“When the they came pleading for support, sadly the steel industry did not give. Now remember, karma comes back to all of us. And then you landed up requiring support within 24 hours. I get a letter from the steel industry that we will buy metcoke from India, you can give them protection,” he said.

Goyal said this is a “wake-up” call and everyone should work towards making India a self-reliant nation.

“What is the message the government has to take from this and should the government have been forthcoming to support your industry? It is a wake-up call for all of us, and it is very important that this message of self-reliance, swadeshi, holding each others back, is important.”

Goyal said the industry does not support local suppliers, it could soon see a "rare earth magnet story" on itself.

"If you dont support your suppliers then there is a whole world out there that says don't support the steel industry. You dont want a rare earth magnet story on you."