More measures likely to curb steel prices: Nath

India has said it will take measures to bring down steel prices, but would first wait to see if producers do it on their own.
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"Let's see. If the steel companies do not do what they should be doing (reducing prices) then the government will do what it should be doing," Commerce and Industry Minister Kamal Nath told PTI in Dubai on Thursday evening.
Already, five major steel producers including SAIL, Tata Steel and Essar have decided to hold the price line for up to three months after an appeal by Prime Minister Manmohan Singh not to manipulate prices for short-term gains.
High steel prices are partly to blame for soaring inflation, which rose to 7.33 per cent for the week ended April 12. Steel has seven per cent weightage in the wholesale price index-based inflation and has contributed significantly to rising prices in the last few months.
The government had earlier withdrawn export incentives on primary steel items. Nath said the government has taken some decision and steel companies have said they would voluntarily bring down prices.
Earlier, Finance Minister P Chidambaram had accused steel and cement companies of behaving like a cartel. "Steel industry should be responsible to ensure that they are playing their part in containing inflation," he said.
When asked whether government would invoke ESMA on steel industry, the minister said: "We are not looking at that as yet."
Speaking on inflationary expectation, Nath said: "All steps taken will lead to reduction of inflation. We are targeting inflation to come down to less than five per cent" in the next two months.