The Second Meeting of the National Steel Consumers’ Council, on the theme of “Current Status of Steel Industry and the Way Forward’’ will be held under the Chairmanship of the Union Steel Minister Shri Chaudhary Birender Singh in Bhubaneswar on 16th June,2017 . The function of the Steel Consumer Council is to advise Government on matters relating to supply, availability, quality and the market trends of iron and steel.
India is currently the third largest steel producer in the world; while the domestic steel consumption remains at only 60 Kgs per capita which is quite less in comparison to the world average of 208 kgs. There has been continued thrust from the Ministry of Steel to boost domestic steel consumption byexploring versatile steel uses. Recently, the Union Cabinet has approved the policy for providing preference to Domestically Manufactured Iron & Steel Products in Government procurement. The meeting comes at a good time to address all steel related issues.
Steel Industry particularly Public Sector in Odisha has played a prominent role in development of the steel industry. States like Odisha, are expected to be large centres of rural consumption of steel in the country. Odisha is one of the favoured destinations for steel making in India due to its geographic advantage and talented population of the state. Bhubaneswar, Odisha is the ideal choice for the conference considering the state’s contribution to the steel making prowess of the country.
This meeting would provide a vibrant platform to discuss the viable options for generating domestic steel consumption, domestic steel industry scenario, global steel trends and advantages of using steel over any other construction materials. This meeting would be attended by representatives of various ministries, several industry associations, producers and consumers of iron & steel Industry, house builders and related industries, industry experts and leading domestic steel makers.
Government issues Public Procurement (Preference to Make in India) Order, 2017
The Government has issued Public Procurement (Preference to Make in India), Order 2017 as part of the policy of the Government of India to encourage ‘Make in India’ and promote manufacturing and production of goods and services in India with a view to enhancing income and employment.
Subject to the provisions of this Order and to any specific instructions issued by the Nodal Ministry or in pursuance of this Order, purchase preference shall be given to local suppliers in all procurements undertaken by procuring entities in the manner specified. As per the order, the minimum local content shall ordinarily be 50%.
The Nodal Ministry may prescribe a higher or lower percentage in respect of any particular item and may also prescribe the manner of calculation of local content. The margin of purchase preference shall be 20%.
In procurement of goods in respect of which the Nodal Ministry has communicated that there is sufficient local capacity and local competition, and where the estimated value of procurement is Rs. 50 lakhs or less, only local suppliers shall be eligible.
In respect of procurement through the Government E-marketplace (GeM) shall, as far as possible, specifically mark the items which meet the minimum local content while registering the item for display, and shall, wherever feasible, make provision for automated comparison with purchase preference and without purchase preference and for obtaining consent of the local supplier in those cases where purchase preference is to be exercised.
The local supplier at the time of tender, bidding or solicitation shall be required to provide self-certification that the item offered meets the minimum local content and shall give details of the location(s) at which the local value addition is made.
In cases of procurement for a value in excess of Rs. 10 crores, the local supplier shall be required to provide a certificate from the statutory auditor or cost auditor of the company (in the case of companies) or from a practicing cost accountant or practicing chartered accountant (in respect of suppliers other than companies) giving the percentage of local content.
The detailed Public Procurement (Preference to Make in India) Order, 2017 has been enclosed for your ready reference.