The Indian Steel Association (ISA), representing major steelmakers in India, wrote a letter to the steel ministry to urge the government to impose export duties on low-grade iron ore and pellets to address the domestic shortage problem.

The association suggested a 20% export duty imposed on low-grade ore with less than 58% iron content and a 10% export duty on all iron ore pellets.

The ISA predicted that India's domestic iron ore shortage might increase from the current 55 million tons to more than 100 million tons per year in the coming years. China accounts for more than 90% of India's iron ore exports, most of which are low-grade iron ore.

India, the world’s fourth-largest producer of steelmaking raw materials, aims to raise its steel production to 300 million tons a year by 2030.