Replying to supplementaries in the Rajya Sabha, Mines Minister B.K. Handique said export of iron ore was necessary as piling up of the ore might cause environmental hazards.
"It is necessary to export iron ore, we lack the technical knowledge to use all of it," Handique said.
Out of a total annual production of 218 million tonnes, 117 million tonnes of iron ore are exported, he said.
The minister's statement assumes significance as Karnataka recently put a ban on export of iron ore from the state, citing illegal mining.
About the rights of the tribals living in the mineral rich areas, the minister said the government is framing a new legislation under which they will be given 26 percent of the profits earned from the mines.
"We will take suitable measures to ensure the the tribals get their rights," he said.
Published 16 August 2010, 10:19 IST