Mumbai: The government, which is keen to hold steel prices as it strives to calm soaring inflation, will meet representatives of the industry to discuss ways to help steel consumers without hurting producers, steel minister Ram Vilas Paswan said.

Steel producers had promised a three-month freeze on steel prices, which ends on 7 August.

The government may not steel producers to hold prices, it would be very happy if prices can be held at the current levels, steel ministry sources said.

Based on international prices, steel prices could go up by up to Rs10,000 per tonne.

Steel prices in India are held Rs15,000-20,000 ($350-450) below international prices, according to Tata Steel managing director B Muthuraman.

In May, steel companies, including state-run Steel Authority of India, Tata Steel, JSW Steel and others, promised to hold prices for three months to help the government cool prices.

''We won't want steel producers to face losses because the steel industry is at its peak, but we will also safeguard consumer interest," Paswan said on the sidelines of a conference.

Despite the price moves by steel firms, data from an official body, the Joint Plant Committee, showed many product prices had risen by about 9 percent since mid-May.

"Although large producers have cut prices, smaller companies, who are acting as dealers, have not cut prices in that proportion," Paswan said.

Steel producers are expected to seek to raise prices when a self-imposed moratorium ends early next month, but the government is likely to oppose any hefty, inflation-fuelling increase.