... and the European Union * Declining international prices and high volatility leading to low price realizations * Reducing cost competitiveness due to poor labour productivity and high expenditure on power, fuel and freightage even though India has the advantage of cheaper labour. * Adverse capital structure of most companies leading to high financing costs that in turn is the reason for the companies maintaining high operating levels to service interest burden and reduce per tonne fixed cost. This is not helping the situation of glut in the market. * Steel imported for the purpose of value-addition should be re-exported in the form of consumer products within 18 months. But many of the imported items find their way into the local market. * Cost disadvantage due to locations: The proximity to raw materials and the policy of the government has led to many players being concentrated in east India while the major consumption centers are in ...

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