India expects massive Chinese investment in steel equipment making: SAIL chief.

BEIJING: India expects massive dose of Chinese investment in equipment manufacturing for the steel industry, according to chairman, Steel Authority of India Limited, C.S.Verma, who held a series of meetings with major steel makers and government agencies in Beijing in the past two days.

"India would be happy to get technology and investment from China. We invite Chinese companies to establish engineering shops and facilities like pelatisation, blast furnace and coke oven," Verma told TNN in an interview.

Chinese equipment makers have so far been importing equipment from their home factories leaving buyers like India with cost disadvantages. The Indian government now wants them to establish equipment manufacturing units in India so that the reliance on imports is reduced.

"There are other foreign suppliers who can match the Chinese both in terms of quality and pricing. So, it is in their best interest to participate in the equipment making process in India," Verma said.

Verma said India offers massive opportunities for foreign equipment makers because it plans to invest $120 billion in the industry over the next 10 years.

An Indian industry delegation comprising of representatives of Tata Steel, ESSAR, SAIL and other companies besides the steel industry representatives held long talks with members of the China Steel and Industry Association chairman Zhu Jimin over the past two days.

"We have established a mechanism for dialogue, on steel, that would help us understand each other and explore new opportunities," he said after signing a memorandum of understanding for establishing the dialogue platform.

The Indian team is looking for collaboration with the Chinese steel industry in areas like technology transfer, training for developing expertise in design engineering, operation, construction, research & development.

"We must learn from each other and align our actions in exploring the steel market and pursuing steel making raw materials in the world," Verma said.

Source : timesofindia.indiatimes.com