Government’s New Policy Prioritises Local Iron, Steel In Procurement Contracts
Under the policy, global tenders are barred for contracts worth up to Rs 200 crore, in a bid to keep away foreign competition in government contracts.
The government on Wednesday revised its Domestically Manufactured Iron & Steel Products Policy 2025, in an effort to prioritise locally produced iron and steel in government contracts, to safeguard domestic market stability and support primary steel mills.
The revised policy aims to curb rising steel imports by enforcing stricter procurement rules that limit foreign competition.
All ministries and PSUs are to prioritise flat-rolled steel, bars, rods, and railway materials that meet the 'Melt & Pour' condition within India, under the policy.
Global tenders are barred for contracts worth up to Rs 200 crore, in a bid to keep away foreign competition in government contracts.
A reciprocal clause for foreign countries has also been introduced. As part of the clause, suppliers from countries that restrict Indian firms from their government tenders will not be allowed, as per the revised policy published in an E-Gazette notification.
