Press Esc to close
Friday 12 February 2016
News updated at 3:14 PM IST
Weather
Max: 32°C
Min : 19°C
In Bengaluru
Partially cloudy

Mining ban affecting economy: Sharma

New Delhi, Dec 26, 2013, PTI:
Ban on mining by the Supreme Court has hit the economy and exports besides increasing India's dependence on imported coal. PTI file photo

Ban on mining by the Supreme Court has hit the economy and exports besides increasing India’s dependence on imported coal.

“It (mining ban) has hurt our economy. It has hurt exports, (particularly) iron ore exports. It has increased our dependence on coal imports. So both ways we are loosers,” Commerce and Industry Minister Anand Sharma said.

But for the ban on mining, he said, India could have earned by exporting around 100 million tonnes of iron ore.

“We have been deprived of the precious foreign exchange and what we could have mined in India. When it comes to coal, USD 22 billion plus was the coal import bill,” the minister said adding: “these are the areas which need a serious look.”

The Supreme Court had banned iron ore mining in Karnataka in July-August 2011 and in Goa in October 2012.

Earlier, Sharma has raised concerns over judicial activism and said: “India badly needs judicial reforms”.

Following the ban, shipments of iron ore plunged to 18 million tonnes in 2012-13 from nearly 168 million tonnes in 2010-11. Before the ban, India was exporting iron ore worth over $7 billion.

Environmental restrictions have significantly hampered coal production in the country, leading to increase in dependence on coal imports.

Slow down in exports have increased the trade deficit as well as the current account deficit. While the trade deficit soared to a record high of $191 billion in 2012-13, CAD jumped to $88.2 billion, or 4.8 per cent of the GDP during the period.

The mining sector, with a weight of about 14 per cent in Index of Industrial Production (IIP), saw a contraction of 3.5 per cent in October as against a dip of 0.2 per cent in the same month last fiscal.

During April-October, the output shrank by 2.7 per cent as against a contraction of 1 per cent. Coal production, with a weight of about 4.5 per cent in the IIP, declined by 3.9 per cent in October.


Go to Top

Photo Gallery
Relatives of Lance Naik Hanumanthappa Koppad mourn his death at his home in Betador in Hubli...

Relatives of Lance Naik Hanumanthappa Koppad mourn his death at his home in Betador in Hubli...

Vehicles stranded at Jawahar Tunnel, which connects the valley to the rest of the country during...

Vehicles stranded at Jawahar Tunnel, which connects the valley to the rest of the country during...

Girls taking selfie during the lok Mela at Punjabi University in Patiala...

Girls taking selfie during the lok Mela at Punjabi University in Patiala...

President Pranab Mukherjee walks at the Mughal Gardens at Rashtrapati Bhavan during its press...

President Pranab Mukherjee walks at the Mughal Gardens at Rashtrapati Bhavan during its press...

Sheikh Mohammed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi inspects guard of honour during...

Sheikh Mohammed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi inspects guard of honour during...

Gold medal winners Prarthana Thombare and Sharrmadaa Baluu of India, pose during the presentation...

Gold medal winners Prarthana Thombare and Sharrmadaa Baluu of India, pose during the presentation...

Bangladesh Goalkeeper Md Rasel Mahmud in action against Nepal during the group matches of the...

Bangladesh Goalkeeper Md Rasel Mahmud in action against Nepal during the group matches of the...

Shooters of India and Pakistan take part in the individual 25m center fire pistol men's...

Shooters of India and Pakistan take part in the individual 25m center fire pistol men's...

Sri Lanka's Nalantha De Silva, right approaches as India's P.L.Thiamanna, tries to control the...

Sri Lanka's Nalantha De Silva, right approaches as India's P.L.Thiamanna, tries to control the...

T Gopi of India winner of gold medal (front ) and Suresh Kumar of India winner of silver medal...

T Gopi of India winner of gold medal (front ) and Suresh Kumar of India winner of silver medal...

Copyright 2014, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bengaluru - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523