From Our Special Correspondent
Daijiworld Media Network - Goa
Goa, Nov 27: Goa’s mining belt refuses to get back to normalcy despite iron ore exports resuming after a gap of three years. The mining companies feel that they need a "crutch to hold on after falling flat."
After Supreme Court lifting the ban and local government allowing the exports, the mining firms and independent traders have begun moving out the cargo which was e-auctioned by the state government. The fresh extraction is yet to begin.
"Few shipments have gone. The industry has all the intentions to get back economy in the mining belt back on track but we need some crutch to hold after we have fallen flat. And the support has to come quickly," Glenn Kalavampara, Secretary, Goa Mineral Ore Exporters Association told daijiworld on Friday November 27.
The industry which was booming till 2012 saw the sudden downfall, after SC banned fresh extraction and exports after Justice M B Shah commission pointed out towards gross illegalities. Goa based NGO Goa Foundation still continues to fight the matter in the court as state government has renewed 80-odd mining leases.
A year before when ban came into force the exports were 53 milion tons, while current ceiling on export stands at 20 MT.
The exports, which were officially announced by the State government two months back, are happening at snail’s pace. The figures from Directorate of Mines and Geology mention that hardly 2.5 MT ore has been sent abroad, mostly to China. Total 15 MT ore was put on e-auction of which only 7.5 MT was bid.
Sesa Iron Ore was the first one to move the cargo along with the traders while other companies like V M Salgaoncar and Fomento Resources have pulled up sleeves to get in the business again.
"We are giving all possible support to the mining firms and traders to move out the cargo which they have purchased in e-auctioning. The fresh extraction can start only after e-auctioned cargo empties the space it has occupied," a senior State Mines ministry official said.
The mining industry too feels that the fresh extraction is something a distance dream for time being. Their major concern is to get good price for the e-auctioned ore as international market has crashed.
"The exports are getting into negative. The export duty on ore less than 58 Fe has been dropped down from 30 per cent to 10 per cent. But the higher duty continues for other ore. That is why only lesser Fe ore is being exported at this juncture considering the feasibility," Kalavampara said.
Back in the mining belt, the economy is still in crisis as people dependent on this industry is awaiting the appropriate resumption.
"Only 1,000 trucks out of 12,800 are getting transport consignment. Rest trucks are waiting for the calls from mining firms. There is no benefit from the resumption of mining," said Nilkant Gawas, President, All Goa Truck Owners Association.
Gawas feels state government should provide helping hand for the truckers who are on the verge of collapse.