Shares Of Tata Steel, JSW Steel Nosedive On Bourses

Nifty metal index was down on Monday as shares of steel companies like Tata Steel and JSW Steel fell sharply during morning trade on the bourses.

Shares of Tata Steel were down by 12 per cent and were trading at Rs 1,030.35, down by Rs 104.25 per share at the National Stock Exchange (NSE).

Similarly shares of JSW were down by 12.28 per cent on the NSE and were trading at Rs 553.60 per share, down by Rs 77.50 from the previous close at 1:05 pm.

Steel shares fell mainly in the aftermath of Government waiving off customs duty on import of some raw materials like coking coal and ferronickel for steel industry.

This move will lower the cost for domestic industry and bring down prices and improve domestic availability.

Export duty on iron ore was hiked to 50 per cent and on some steel intermediaries by 15 per cent by the Government on May 21 through a notification.

Steel industry has said that imposition of export duties on steel products will send a negative signal to investors and impact capacity expansion projects under the productivity linked investment (PLI) schemes.