Mining stakeholders see SC order as major setback

  • 12/11/2013

  • Herald (Panjim)

Even though State government has welcomed Supreme Court’s interim order allowing e-auctioning of 11.48 million tonnes of already mined iron ore which is lying unused in the State for over a year, the mine lease holders, exporters and transporters see the order as a major setback. The SC in its judgment on Monday ruled that a monitoring committee will conduct the e-auction and deposit the amount generated in a separate account after deducting the royalty and trade taxes wherever applicable. The order implies that the mine lease holders will not get the money nor the ore they mined. Moreover, if they want to export the stock that is being auctioned, they will have to pay for it. Goa Mineral Ore Exporters’ Association (GMOEA), having 22 members, more than half of which used to export 80 percent of the ore, have called for a special meeting likely to take place on Wednesday to discuss the Apex court’s order. “We have called for a meeting, but I will say that the judgment is a setback to Goa exporters as they were not allowed to export the ore which they had mined,” GMOEA secretary Glenn Kalavampara said. Mines lease holder Shivanand Salgaoncar refused to comment on the order stating ‘we are yet to see the exact wordings of the order’. However, some small mining lease holders, refusing to come on record claim that the mining players are unhappy with the verdict as it is not going to pay off anything into their treasury. “If new players buy ore through the auction mechanism for exports, it will only complicate matters…also if government opens auctioning for global players then the steel makers from China, Japan, will pitch in directly,” the mine owner, whose ore is lying at one of the jetty, said. Further, lack of clarity on export and the players to be invited for auctioning has further raised fears among barge owners. All Goa Barge Owners Association president Atul Jadav said that the order will not help the barges to start its economic activity unless and until, there is clarity on who will buy the ore and whether it would be exported or used for domestic consumption. “If players from Karnataka participate in the auction, they will use ore for domestic purpose. If some foreign companies bid for it, then they might export it using their means. There is no relief for us,” Jadav said. Chief Minister Manohar Parrikar has already made it clear that the local, national as well as international players are welcome to bid at the auction, provided they have required permissions. “Once we auction, it is not our lookout whether the ore would be exported or used for domestic consumption,” he said.