There has been a sudden spurt in import of iron ore in Odisha this year apparently due to shortage of raw material from local sources due to slowdown in mining activities.
According to recent written reply submitted by steel and mines minister Prafulla Mallik in the assembly, various companies imported 9.49 lakh million tonne of ore in 2014-15 compared to no import in 2013-14 and 1,404 MT in 2012-13. There was no iron ore import in 2011-12, 2010-11, 2009-10. Similarly, 1.32 lakh MT iron ore pellets were imported in the year compared to just 296 MT in 2013-14.
Mallik said the import depends on number of factors such as prices of raw material, demand of end-products, marketability and market price of end products.
Operational steel mills such as Tata Steel and Visa Steel were among the largest importers of iron ores while Jindal Steel and Power Limited and Simec Indus Resources are importing pellets.
Official sources said the situation has arisen because mining has stopped in several big mines thanks to expiry of statutory clearances.
Sources said during 2013-14, 77.84 MT of iron ore was produced in the state. However, only 16.925 MT were consumed domestically. The domestic consumption of iron ore was less than 30 per cent of total iron ore production during the last three financial years. In a separate written reply, the minister said of the 200 mining lease holders involved in excess mining, 140 lease holders had approached the re-visional authority.
Of them, 44 mining lease holders got interim stay. He said the case pertaining to excess mining was sub-judice in the Supreme Court. The government would take next course of action after the SC verdict.
The minister said after the recent MMDR ordinance the state government has started accessing the minerals for e-auction in tune with the central government norms.
The government is taking help of the Geological Survey of India, Mineral Exploration Corporation, Orissa Mining Corporation and directorate of geology for estimating the minerals, he added.
Source:hellenicshippingnews.com
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