General Director of Tata Steel Ltd. T.V. Narendran abruptly resigned as president of the Indian Steel Association in New Delhi, the largest industry body in the industry in the country, significantly shortening the two-year term, sources at ISA member companies told S&P. Global Platts on Sunday.
The presidency lasts two years and Narendran’s term was due to expire in August. Sources told Platts that there was a disagreement among member companies over the Indian government’s consideration of an auction to sell iron ore mines held by steel companies. According to the latest media reports, India’s Ministry of Mines has offered to hold auctions for such mines without any first right of refusal, leading to the early termination of the captive lease from 2025 to 2030. The move is likely to hurt Tata Steel’s operations in India as it is the only privately held company. A steel company in India has iron ore reserves, sources said. Tata Steel and the association did not immediately respond to an email request outside of business hours on Sunday.
Founded in 2014, ISA is the unifying industry body, representing 18 full and affiliated members, including leading Indian steel companies such as Tata Steel, JSW Steel, Steel Authority of India Ltd., ArcelorMittal Nippon Steel India, Rastriya Ispat Nigam Ltd. and Jindal Steel & Power Ltd. ISA is in close contact with the government on issues affecting the steel industry and the resignation is likely to hinder the industry body’s advocacy in the face of industry concerns over COVID-19, the sources said.
Former ISA presidents include KS Verma, former chairman of India’s Steel Office, and Sajan Jindal, chairman of JSW Steel. Narendran also serves on the boards of directors of Tata Steel Ltd. and Tata Steel Europe, as well as the Executive Committee of the World Steel Association.