Answer: A Standing Committee under the Ministry of Steel.
Enrich Your Learning:
Policy for providing preference to domestically manufactured iron & steel products in government procurement:
- The Union Cabinet has approved the policy for providing preference to domestically manufactured iron & steel products on Government procurement.
- This policy seeks to accomplish ‘Make in India’ with objective of nation building and encourage domestic manufacturing.
- A Standing Committee under the Ministry of Steel (MoS) to be chaired by the Secretary (Steel), shall be constituted to oversee the implementation of the policy.
- The policy mandates to provide preference to Domestically Manufactured Iron & Steel Products (DMI&SP), in Government Procurement.
- The policy is applicable on all government tenders where price bid is yet to be opened.
- It provides a minimum value addition of 15% in notified steel products which are covered under preferential procurement.
- Ministry of Steel may review specified steel products and the minimum value addition criterion.
- It shall not normally be the responsibility of procuring agency to verify the correctness of the claim. In few cases, the onus of demonstrating the correctness-of the same shall be on the bidder when asked to do so.
- In case any manufacturer is aggrieved, a grievance redressal committee set up under the Ministry op Steel shall dispose of the complaint in a time bound manner, in four weeks.
- There are provisions in the policy for waivers to all such procurements, where specific grades of steel are not manufactured in the country, or the quantities as per the demand of the project cannot be met through domestic sources.
- The policy is envisaged to promote growth and development of domestic steel Industry and reduce the inclination to use, low quality low cost imported steel in Government funded projects.
- It shall be the responsibility of every Government Agency to ensure implementation of the policy.
Bidder, DMI&SP, Domestic Manufacturer, Semi-Finished Steel and Finished Steel:
- Bidder may be a domestic/ foreign manufacturer of steel or their selling agents/ authorized distributors/ authorized dealers/ authorized supply houses or any other company engaged in the bidding of projects funded by Government agencies.
- Domestically Manufactured Iron & Steel Products (DMI&SP) are those iron and steel products which are manufactured by entities that are registered and established in India, including in Special Economic Zones (SEZs).
- Domestic Manufacturer is a manufacturer of domestically manufactured iron & steel products (DMI&SP).
- Semi-Finished Steel shall mean billet, blooms, slabs (cast products), which can be subsequently processed to finished steel.
- Finished Steel shall mean Flat and Long products, which can be subsequently processed into manufactured items.