I am a master in India

Chapter 420 Steel
Although Goa was ruled by the Portuguese, the chaos there was no different from that of other states.

Inland mining areas are severely affected by illegal mining, with almost every household involved.

Incidentally, Goa is very small, consisting of only two districts: South Goa and North Goa.

In terms of territory, it's not even as big as Mirzapur in Uttar Pradesh; you can drive across the entire state in just one hour.

It's too small; it's not even as big as a county in Dongda.

Although it's called inland, it's actually only a 20-minute drive along the coastline.

Accompanying them were members of the Reddy family and a manager from the mine.

They passed through several small towns, each with a Catholic church painted bright white.

Then we passed through some small villages. Along the roadside, we could see neat single-story houses belonging to villagers, and many of these houses had large, brightly colored dump trucks parked outside.

The Reddy family explained that in previous years, when the economy was booming, the demand for iron ore on the international market was high.

The entire state of Goa descended into madness, with even ordinary villagers daring to gamble with their own money.

Generally, opening a new mine requires several years of procedures, but suddenly the issuance of new licenses has become chaotic.

In a short period of time, speculators and swindlers have sprung up everywhere, offering everything from mining equipment to black market funds.

Millions of tons of iron ore have been illegally mined, leaving the land scarred and devastated.

When talking about the crazy events of the past two years, the Reddy family seemed a little embarrassed.

“The people who got mining licenses included politicians, their relatives and friends. It was a mixed bag. There were new faces, businessmen, and truck contractors. It was a really bad time.”

"Those big trucks in the village?" Ron asked.

“Many villagers took out loans to buy dump trucks, waiting for us to hire them to haul ore. It was a very lively business. But in the past year, business has declined, and those hundreds of trucks are now idle all day long.”

“Overseas trade has a significant impact on Goa,” Ron nodded.

“Yes, otherwise we wouldn’t have thought of selling our mine,” Gary Reddy sighed.

His family practically turned the mining site into a private domain, a state within a state, filled with heavily guarded compounds and imported luxury cars.

Rather than calling this a medium-sized town in Goa, it's more accurate to describe it as the hideout of a criminal gang leader.

According to Gary Reddy, at the busiest times, hundreds of mining companies would emerge, and the iron ore mined each day could fill thousands of trucks.

Once the iron ore was loaded onto trucks, it was taken to a nearby port and then shipped overseas.

“This town exists solely because of the iron mine. If you, Mr. Sue, buy it, the town will belong to you,” Gali Reddy tempted.

How much iron ore is produced here?

"The market is currently sluggish, with less than a million tons of iron ore mined annually. But if we operate at full capacity, we can easily reach 200 million tons."

"Is all the iron ore mined exported?"

"Most of them are, but there are also steel mills locally. Goa has very high-grade iron ore with an iron content of up to 64%, making it an excellent choice for steelmaking."

Gary Reddy took Ron on a tour of the mine, a scene much like those in Uttar Pradesh and Bihar.

In terms of mechanization alone, it's not even as advanced as Ron's coalfield in Danbad.

However, it's not without its advantages. He can get what he needs right away, without having to put in the effort to start from scratch.

"How do you want to negotiate this deal?" Ron asked.

“Let’s go over there and talk in detail,” Gary Reddy said, pointing to a courtyard not far away, his eyes bright.

It was a two-story concrete building, considered the most beautiful and luxurious building in town.

Ron and his group were standing on the second floor, where they could clearly see the situation at the mine not far away, with scattered workers appearing and disappearing at the mine entrance from time to time.

“When we invested in this mine, it cost us a full $2 million, not rupees,” he emphasized.

The rupee has depreciated continuously in recent years and no longer represents its original value.

"That's not the point; the real issue is the plunge in international iron ore and steel prices," Ron retorted bluntly.

“But the equipment is almost brand new. We would never have considered selling the mine if we didn’t need the money urgently.”

"Name your price," Ron said bluntly.

“$1.5 million,” Gary Reddy said, holding up his fingers.

“I can rebuild such a mine in Goa, which is newer and cheaper than this one.”

“We also have skilled workers, and we won’t take any of them with us. You can start work almost immediately, without any delay whatsoever.”

"Eighty million US dollars."

“Mr. Sull, this price is too low.” Gary Reddy shook his head and refused.

"Let me ask you this: how much money do you still owe the bank?"

"What?" "Dude, I know what's going on. You guys are in big trouble lately, but this isn't a threat. I just want to figure out your funding gap."

“The Reddy family can handle it; it has nothing to do with this deal.” Gary Reddy was very wary.

"Okay, I heard that you also have a steel mill that's not doing too well?"

“I understand, you really came prepared this time.” Gary Reddy gave him a deep look.

“Sul Mining is in the supply chain business,” Ron smiled, not denying it.

Limestone mines and cement plants are complementary, while coal provides power for power plants.

Now that they've set their sights on iron ore, it's only natural to establish a steel plant there as well.

Otherwise, a small iron ore mine wouldn't require Ron's personal involvement. Only heavy industry like a steel mill is worth the trip to Goa.

“Mr. Suer, this is not within my authority. I need to go back to my family and talk to them in person.”

"Of course, may I visit your steel plant before that?"

"Please do as you please, I will arrange for someone to accompany you."

The Reddy family wanted to sell iron ore, not the steel mill. The former is a raw material, while the latter involves processing raw materials, resulting in different added values.

Anyone can mine iron ore, but not everyone can run a steel mill; that's the Reddy family's business.

But there are always exceptions. Regardless of whether it will work out or not, let's talk about it first.

Ron planned to stay in Goa for a while; the steel industry was worth it.

...

Goa’s two main industries have attracted a large influx of migrants, some from as far away as Uttar Pradesh, Bihar, and Central India, or from eastern India, including Bengal, Odisha, and Assam.

They travel long distances by train or car to the village of Goacus, hoping to find work in a factory there.

In this region, far from the highway, farmland appears very sparse, yet it is home to nearly 100 factories of varying sizes, producing chemicals, pharmaceuticals, steel bars, and steel pipes.

These factories are only visible after you leave the highway. They are not clustered together, but rather appear to be randomly scattered among the farmland.

Some are near village markets, while others are adjacent to old roads that have been replaced by highways.

For people, the first thing that catches their eye is not the factories themselves, but what they create on this land:

Thick smoke billowed from distant chimneys, and women and children impatiently rummaged through piles of black slag on the ground, trying to find scraps of steel.

Inside the walled factory, the machines clattered like hellish metal, and the occasional breeze carried the nauseating smell of chemicals.

The area surrounding the village of Kusser was developed into an industrial zone in the 80s, and the name "Kusser," meaning "new village," replaced the original name "Patel," meaning "old village," which aptly reflects the transformation at the time.

This region received subsidies and tax breaks from the Indian government during the initial stages of industrialization, as Kusser village was considered one of the poorer and less developed areas in Goa.

This place is filled with people from the bottom of society who want to escape their peasant identity, as well as the Rambada Gypsies, a group who live in extreme poverty and often sell their children to disreputable adoption agencies and pimps.

Strangely, nearly 20 years after industrialization, locals flocked to Mumbai or Bangalore in search of opportunities, mostly working as construction workers.

People from more remote areas flocked to Goa, hoping to find work in nearby factories.

The influx of migrants has spawned another business: real estate brokerage.

For each worker brought to a construction site or project, the middleman receives a commission of 4500 rupees, but the workers only receive about 1200 rupees worth of cash and food each month.

These workers, most of whom come from the lower rungs of society, are often deeply in debt because they have to pay a considerable amount of money upfront to move here.

Their children are often forced to work, and women are frequently abused. Workers are extremely vulnerable to injury, as India has the highest rate of accidental injuries among construction workers in the world, with 265 out of every 1000 workers injured on the job.

This is why local residents would rather leave their homes and go to Mumbai or Bangalore than stay in the area.

It's too hard and too tiring; even normal cattle and horses can't endure it.

Only the truly impoverished, tribal people and untouchables, can get used to the dark and dreary life in factories.

Nevertheless, this so-called industrial park still attracts tens of thousands of people from other parts of India.

Local business owners and middlemen love hiring them because there's a golden rule at play.

That is, workers cannot launch organized protests demanding improved working conditions and higher wages due to insecurity and being forced to leave their homes.

They come from faraway places, so local politicians seeking votes are not interested in them. Because of language and cultural differences, they also become estranged from the local residents.

This is equivalent to social isolation, making one an excellent beast of burden or a laborer.

A few miles from the iron ore mine, diagonally opposite it on the other side of the highway, are several steel mills.

Some are properties owned by the Reddy family, while others are factories belonging to other companies, varying in size and scale.

Ron, accompanied by Reddy's family guide, began to tour the industrial park.

(End of this chapter)