Siderit considers state support insufficient

June 27, 2008

June 27th (E-Trend) – Last year the cabinet approved state support for Siderit of a total value of 183.5 mil. Sk (6.05 mil. EUR). The company in Nižná Slaná, which extracts iron ore and processes it into pellets, had been applying for state aid without success for many years.

It needed the funds for modernisation and finding new deposits as otherwise it was threatened by collapse. Now, a few months after the contract on state support was signed the directors of Siderit are still not satisfied.

They keep complaining about the same issue as before. Lack of help from the state. This time they are complaining the state is not offering the company sufficient protection from competitors from Ukraine and Russia.

They want import surcharges to be imposed on the products as Siderit cannot produce the pellets cheaper than the competition from the east. In addition to this the management of the factory in Gemer realised that the modernisation would cost more than originally expected. Whose fault is this? The state’s.

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