In what India says is an effort to preserve its natural resources, the country’s Steel Ministry will push for a tax on iron ore exports. China, buyer of 85% of India’s iron exports, responded by proposing a long-term import-contract similar to the ones it has with Brazil and Australia. Meetings between the Indian Steel Ministry and the Chinese Ministry of Commerce, finished on Friday, but India is still undecided about how to respond to the proposal.
The Chinese Ministry of Commerce website has pictures of the February 20th meeting between Assistant Minister Huang and the Indian Minister of Chemicals and Fertilizers.
Beijing, Feb 22 China has proposed a long-term agreement with India for importing iron ore to meet its growing demand of the mineral.
“They proposed a long term agreement. We have not responded to it,” India’s Steel Ministry Secretary J S Sarma told reporters here.
China made the proposal during a meeting between officials from India’s Steel Ministry and the Chinese Ministry of Commerce.
Sarma said the Chinese officials informed that Beijing had long-term arrangements with Australia and Brazil, with prices not being fixed, and wants to enter into a similar agreement with India.