Durudarshan - Investment Analysis - Honest Information, Profitable Trading
My Blog

the British steel industry - and the E.U.

Can the British steel industry be saved?

Today's disheartening figures about the U.K. economy as well as similarly dismal figures from Europe suggests the last quarter has seen a slow down in manufacturing in the U.K. coupled with increased imports from E.U. 

There seems a pause, some great hesitation, in jobs creation as well as in purchasing, planning and production of goods.  This is being attributed to the uncertainty created by the forthcoming Referendum on 23rd June, when Britons will decide whether to stay In or Out of the European Union.

No. 10 Downing Street on behalf of HM Government has started to send a 50 page newsletter to all the 27 million households in the land, informing us all about the benefits of staying In, which Prime Minister David Cameron is praying should happen.  He is counting on it, as are our partners in European Union, and indeed the whole of Europe.

When David Cameron went to Brussels to renegotiate the terms of Britain keeping within the European Union, he seems to have gone there with a clear plan.  If he got favourable terms, Britons could be relied on to agree to the bargain (the Referendum would be a formality, the choice this great democracy offers all its citizens to have a say on such an important issue).  Alas, to his dismay, some of his best chums have started to brand themselves as Eurosceptics, such as London Mayor Boris Johnson.
While he could not have counted on everyone in Britain turning into Europhiles, he may find that in their wisdom perhaps 51 percent if not more will be, at the Referendum.  In the meantime, all purposeful activities contingent on the outcome seem to have been suspended in mid-air, as it were.

I hope doves of peace and wisdom will rise and clatter their wings, and switch people back onto a pleasant reality.  If Britain leaves the E.U., there may be a recessionary environment for us all (Britain and a European Union from which we would become estranged), and that is something we would all rather not bring upon ourselves, that would be quite sensible.  But in the meantime, the temporary hiccups seem like the cost being levied on us.  Hopefully, if everything goes well and the result is as would benefit Britain and her people, maintaining jobs and trade and saving our currencies from any adverse impact, then things may restore to an upswing after 24th June.  My gut feeling is, we shall all be celebrating.

In the meantime, the same uncertainty must weigh dark clouds over the fate of the steel industry in the U.K.  Can it be saved?  1) Tata Steel's parent company which is headquartered in Mumbai will be putting out a Sale document on Monday 11th April.  This will encourage any potential buyers or saviours to step forward, knowing what is available and at what price and what involvement and commitments will be necessary.
2) A lot of commodity merchants, dealers and speculators have lost a lot of equity in their holdings, with plunge in prices, including that of steel, from about $1200 right down to £91 per metric tonne just recently.  Some have made small fortunes by the same token; their judgement has served them right.
Sanjeev Gupta of Liberty House may be one of the lucky ones.  If so, his involvement should augur well for any company.  He has bought stakes in several companies, which seem to be on the mend in the short period of time.  His method is to infuse synergies with innovation and encourage all hands in productive purposefulness.  He is intending to use burners which can be switched off at close of day, melt scrap to produce recycled steel, use electricity from his own electric generation company, thereby making steel cheaper, like his Dad used to do in India and which he is going to do at his plants in Scotland.  It seems a winning strategy.  Perhaps Tata Steel could have him as a partner to manage the operations at their various plants?  Bringing costs down will be a huge help in saving this industry.
3)  The government could introduce, together with our friends in the E.U., tariffs on imports of steel from China, Korea and Taiwan.  The United States, where electricity is 280 percent cheaper than in Britain, imposes huge tariffs.  Britain and E.U. partners cannot afford not to, in a bid to save the steel industries in all these nations.  Our friends in China, Korea and Taiwan should be encouraged to market their huge stockpiles in a mercantile fashion, releasing it a lot slower onto the world market.  That may turn out a blessing for them, if it means a better price.  They will have to be patient, until the worldwide economic Recovery regains its step and continues on.  Somehow, can you not imagine the turning point is now not far away?  I believe it will be in seven months (first the clarity after the Referendum in UK, then the election in the U.S.)  Basic Resources and Oil have started to put a bottom in their markets, so very likely this forecast will prove to be true.  Today, when I heard about the building of the Voi Railway Bridge in Kenya, to connect it with Rwanda and Burundi, I recognized a clear signal that Recovery is progressing throughout the world. 
4) Tata Steel Europe Ltd is showing significant losses due to the depressed prices of its stock.  Anyone who buys it now will be buying an absolute bargain.   It will be a matter of time and patience before the price picks up again.  Some shrewd businessmen with the readily available few billion pounds will rise up to buy it, should it even be in the guise of a Saviour, and should be welcomed.
(Could be in addition to Mr Gupta or the Mehoyas brothers).

Wish you a joyful weekend,  and hopefully a happier picture in the weeks ahead.

Kind regards,
Durudarshan H. Dadlani

(c) Copyright.


Recent Posts

India's "demonitsation" could have a flaw
Donald Trump will be a good great President
The Euro unification of currency and philosophy has thrown up its own challenges
The Japanese stimulus may do wonders for the world.
I believe Japan should be cutting the Stimulus

Most Popular Posts

India's "demonitsation" could have a flaw
Donald Trump will be a good great President
The Euro unification of currency and philosophy has thrown up its own challenges
The Japanese stimulus may do wonders for the world.
I believe Japan should be cutting the Stimulus


"I know for a certainty that He is coming back"
"Where there is peace, there will be prosperity".
#Business Show, Excel, 18th May (today) Docklands.
1st E-Mail Campaign
A 385 Billion Euro Plan for Greece - the Jucker Plan
A crunch point for Greece and the Euro Area.
A 'damage limitation' excercise after Brexit.
A further pierod of economic Recovery in the Euro Area,and Europe.
A method to help Swollen legs
A sensible arrangement with Greece would be best
A stockmarket correction before resumption of the bull trend?
Abenomics, Mr Kuroda.
Accomodative Stance.
Acts of Nature
After the bitter pill, good times ahead for Greece?
Ah so....Mr Abe's economic stimulus, authorized by Guvnor Kuroda.
Appeal for peace and help for Ukraine
Ayurveda - Jobs in voluntary sector
Bangladesh building collapse
Bank of England rate unlikely to be raised just yet...
Baptism to be born-again.
Basil leaves tea.... for reducing diabetes, soothing cancer
Batman, comic books, turn ons.
Best in the Industry
Brexit - a lesson for positive changes?
Brexit? Oh no, I believe it would be a bad idea.
British Airways - lost property - missingx.com
Budget for the Enterprise culture.
Burma - Nobel Laureate Aung Sang Suu Kyi
Business Show, Olympia 22-23 Nov London
Can Dr Yellen delay hiking the rate for some time?
Cheers to the pre Christmas spirit
Children dying of measles in Larkana, Sindh.
China - positive signs
China is still very rosy, with re-focus of the economy
Chinese stockmarket fall
Church of Jesus Christ of Latter-Day Saints
Clarity will help the Euro develop into a strong Reserve Currency.
Climate Change, make furniture
Climate change? Unseasonally warm
Continuation of Recovery.
Co-operative Enterprises
Corporaate Social Responsibility
Corrections : CBoC rate and Stephanie Ruhle
Could Mr Kuroda taper the Stimulus?
Creating employment, the challenge facing Europe
Credit Easing
Cultural harmony
Cyberattack? or just some hiccup?
Cycles and the stockmarket
Debate about the £26,000 benefits cap.
Debt Ceiling
Debt Ceiling II
DEmonitisation may have a flaw
Developments in Orissa, Bengal, Meghalaya
Diamond Jubilee and Olympics
Diamond Jubilee Year and Paralympics
Divine Guidance
Do you care about the young doctors?
Donald Trump shall be a good great President
Donald Trump would be good for a King, but not as President
Drink a Pinta Milk a day.
Drought, and shortage of drinking water, in India.
Durudarshan for Prime Minister of India, May 2014
E.C.B. Stimulus
ECB 20 Billion additional stimulus,
ECB Stimulus
Eike Batista, 10th Richest Man in the World.
Elan Musk
Enhanced ECB Stimulus would be an Act of Faith.
Euromillion Lottery Winners
Europe hopes Britain will remain In.
Exciting times ahead for the world economy.
Expansion the key, to avoid recession in midst of plenty.
Extended Stimulus by the E.C.B. and a 10 basis point cut seems good news.
Facebook - my blogs on Facebook
Fathers Day - some heartwarming words
Football Clubs
France, Germany, Brazil, India, Russia.....greetings!
Free Money and grants for U.S. citizens.
From Recovery to Prosperity
Frozen shoulder
Further peace, lessen war and conflicts.
G8 Summit
Georgia, Tbilisi
Gifts...for Christmas and all year round
Go ahead, ask the banks for a business loan.
Good days ahead for India, with the Acheh din Budget.
Good evening, Greek friends....
Good times ahead
Greece - an act of faith is necessary
Greece - In or Out of the Euro system?
Greek Debt Situation
Greek national dance in celebration.
Growth for Europe
Guest Book
Gurdas Sidhu - Knowledge to Action
Hacking a problem on blog - please connect via Facebook
Happy Birthday, Grace!
Happy Easter
Happy Fathers Day
Happy New Year!
Health - Diabetes
Heavenly Father, where art Thou? Can people share God's Umbrella?
Help for Indebted Farmers in India
Help save High Street stores in Britain
Herbal and Ayuvedic medications
Hillary Clinton needs all the support in New York and California...and Redmond,Kentucky...
Hillary Clinton odds-on favourite with the bookies, no wonder.
Hillary Clinton, The Donald, the Tea Party?
Hillary for America = America for Hillary
Hillary for America. The Democrat faithful can make it so today.
Historical blogs - of current interest.
Hollywood L.A.
Homely Comfort
Hopefully, the ceasefire can lead to a greater Peace in Syria.
Housing - Social and Improvements.
How can the symphony of Recovery and Prosperity resume?
How can we perhaps have the miracle of Inflation?
How does money get to the real economy?
How would a Greek 'default' affect us all?
I believe Japan should reduce their Stimulus
I pray for Venezuela, now suffering poverty due to fall in Oil price.
I would appreciate your comments
India - The Lokpal Bill
India, shortage of water a national emergency?
India's 14th 5-Year Budget.
Inspiration from the Master Mariner
Interest only Mortgages
Interest Rate and the Economy.
International Women's Day
InterTrader Affiliate
Investment Analysis and Management
Iran, a new era of peace
Is Brexit likely? Will Hillary win the Presidential race?
It would be just wonderful....The Queen's Speech
It's looking good for Hillary Clinton.....and for Donald Trump.
J.P. Morgan
Japan - Prayer for continued recovery
Jesus, the Heart of Love for all Mankind
Job creation for youngsters in U.K.
Jobs and growth
Jon Bon Jovi, Rockstar, Humanitarian, a Heart of Love.
Kimberley Davis, Sarsaparilla
Light a candle....to Prosperity
London Business Show - 7th June 2013.
London Business Show, 28-29 Nov, Olympia.
London Housing Market
Loves and blessings for Christmas
Manoj Bhargava - Billionsinchange
May Allah bring Peace
Micro and macro - chocolate, fruits, money.
Middle East
Money for 18-24 year old Entrepreneurs
Money supply
Money, money, money
More libraries, free books.
Mountain of $57 Trillion, and a family worth 700 Trillion?
Mr Maponya, a dream city in South Africa.
Mr Tsipras makes impassioned plea for help for Greece
Mr Wilson, Yoga Masseur
Mrs Clinton holds Mr Trump on form. I believe she will win.
Mrs Hillary Clinton for President
Musical Christmas celebration, by the Hyde Park Choir
My sentiments are to vote IN on 23rd June 2016.
Nature's Law
North Korea's Mini Bomb....let us view it as comic relief.
Now is the time for all good men and women to come to the aid of the Party.
Nuclear Power
Odisha, Andhra Pradesh, Bengal
Oil price and Recovery
Oil price far too high
Oil Price, Interest Rates and Recovery
One day for God.
Over half a million new jobs with a Brexit?
Painting and Art.
Pakistani treatment of Indian prisoners
Peace between Russia and Ukraine
Peace and Prosperity ahead for 2016?
Peace and Understanding.
Peace helps us not to fall short of the glory of God.
Peace in Syria - something must be done to arrange this.
Peace, as a rose upon stony ground.
Personal three wishes for 2012
Please, can they consider amending the Myanmar Constitution?
Poor inner-city areas a breeding ground for terrorists?
Pray, and avoid the tragic occurences
Prayer for Peace in Syria
Profitable trading
Progress in harmony, not disruption.
Promoting on www.durudarshan.co.uk
Prophet Mohammed
Raise a glass of bubbly to Greece
Ratings and Opinions
Read the Scriptures with spirit, and you will find the answers.
Real life supermen!
Real life Super-woman
Recovery in the Eurozone now likely to continue
Redmond - Blessings of peace unto you.
Remain connected, improve connections
Remembrance Sunday
Renewed Recovery for the Euro Area now possible.
Right selection of business
Right to Work, Obamacare, competitive wages.
Sadiq Khan, Mayor of London. A celebration.
Saudi Arabia proposing some welcome cuts.
Save the Leopards - WWF
Security - Police
Selective Immigration
Shadow boxing? The night is yet young in the contest for the highest office in the world.
Sister Akunne's good news...her exam pass, and continuity to work as a teacher.
So much money!
Social enterprise, Micro-finance for UK entrepreneurs.
Social Issues - Commentary
Somalia - books, handbags
Some thoughts for the New Year.
Some thoughts on Christianity
Steady growth for Europe for the next 18 months, by grace of God.
Stimulus in Europe?
Stock Market
Suggest Japan should taper their Stimulus.
Swami Baba Ramdev
Swami Ramdev, Patanjali Yogpeeth Trust, India.
Swaminarayan Temple, Neasden
Syria Peace Talks to be arranged for 9th March 2016
Tata Steel - could they find a buyer soon?
Testimonies at the Latter Day Saints church, Ilford, UK
Testimonies of a Christian family
Testimony at the LDS Church after the Blue Moon
Testing, testing
The Church of Latter-Day Saints
The Affordable Health Care Act - great news.
the British steel industry - and the E.U.
The Chancellor's Autumn Statement
The Digital Economy
The Euro Area Stimulus to commence very soon
The future is bright, very bright
The future looks rosy. I believe we shall avoid a recession.
The God Particle.
The Golden Plates and the Inspired Translation of the Book of Mormon.
The Himalayan tsunami
The love of Christ - a strong enough foundation.
The magic of chemistry - partnerships.
The Mormons
The Mystery Method
The Panama Papers
The price of Gold
The price of Oil
The Queen visits Ilford.
The Queen's Speech 8th May
The Queen's speech to Parliament
The refugees from Syria - help for them, please.
The Republican candidates
The Third Industrial Revolution
The Tools for te nut
The U.S. Presidential elections
The U.S. Presidential race
The U.S. Property sector, creating $2 Trillion to the good.
The US Housing Market
The Yuan adjustment
To Alexis Tsipras and the Greek nation - growth, Recovery and Prosperity.
Tolstoy would have been as Christ.
Tolstoy's bread crumbs
Touker Suleyman, who bought an ailing company for a £1 and turned it into a £27 Million tu
Trillion dollar coin?
Truth shall prevail - a spiritual musical
U.S. government funding till November 2016, please.
U.S. should extend the Debt Ceiling, Japan should taper, India should cut the rate, U.K. doing fine
U.S. shutdown
Undocumented Immigrants in the U.S.
Vegetarian food in Las Vegas
vistaprint test
Website traffic streams
West Bengal
What can Mr Putin not do?
Who will win the Presidential race?
Why don't the stockmarkets like prospect of a Republican win?
Why I feel optimistic about Greece
Will the DOW reach 18500, or even 19000?
Winds, be thee still.
Wish you a Happy New Year...Prunay le gillon, Oxford and New York.
Wish you a joyful weekend.
With high energy prices, how can British steel industry survive? Yet survive it must.
Work hard, and work for peace....that way may be the noble, dignified way forward.
World Money Show, 8th & 9th November
Worldwide Economic Recovery
Would you borrow from your bank?
Year of the Monkey.
Yulia Tymoshenko
Zimbabwe - may it continue with fair policies
powered by

Website Builder provided by  Vistaprint