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Ban on export pinches mine owners

Operators feel the measure would not curb illegal mining
Last Updated : 27 July 2010, 16:59 IST
Last Updated : 27 July 2010, 16:59 IST

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While Congress legislator Santosh Lad is contemplating to move the court, BJP MLA Anand Singh wishes to speak to the Chief Minister on the issue.

The ban comes at a time when there is no export from the ports. Ore is not exported from Karwar, Belekeri and Old Mangalore ports during monsoon (June - September).
Moreover, the government too has not come clear on the duration of the ban. The Chief Minister, however, has said it would be in force until firm steps are taken to check illegal mining. But the ban does not affect those who have been exporting ore from ports in Andhra Pradesh, Goa and Chennai. There has been no immediate effect on the mining sector due to the ban.

Deccan Herald interacted with a few mine owners on the government’s move and the common opinion was that the ban would in no way help to curb illegal mining.
Anand Singh, a legislator and a mine owner, said the decision would prove detrimental to the mining sector. Concomitantly, the government too would suffer loss in terms of revenue. There is no mechanism to process low-grade iron ore in the country as of now and attempts should be made to provide one. “I will discuss the issue with the party leadership and the government. Senior leaders too should take it up,” he said.
Congress leader Abdul Wahab, who has been into mining for the last 35 years sees no logic in imposing the ban. “Banning export on the pretext of curbing illegal mining is objectionable. Mine owners will soon take a decision to resist the government’s move,” he said.

Legislator Santosh Lad said the government’s decision would affect the mining sector. He said he is ready to meet the Chief Minister to discuss the issue and also has plans to move the court.

Clever strategy
Raghavendra Rao, media coordinator of the MSPL, a mining major, said the ban appears to be a clever strategy to shield those into illegal mining. Those who export natural ore and carry out illegal mining in unleased areas sell the ore to steel plants in the country.
In that way, they would not be affected by the decision. However, export does not fall under Chief Minister’s purview and it is only the Central Government that has the authority to ban exports, he said.
DH News Service

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Published 27 July 2010, 16:59 IST

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