Posted on 09 Jul 2012
Federation of Indian Mineral Industries (FIMI) indicated that Indian iron ore exports will fall sharply to about 40 million tons for fiscal year 2012/13, due to mining prohibition of most domestic mining areas and high export taxes and shipping cost.
Indian iron ore export volume has kept sliding for consecutive 3 years since the mining prohibition, which is 117 million tons in fiscal year 2009/10 and dropped to 98 million tons in the year next and further to 60 million tons of year 2011/12.
RK Sharma, FIMI Secretary-General said the government has yet to make a decision on issuing new mining permits and restoration of the mining lease, which is the biggest obstacle to enhance iron ore production.
There are already about 45,000 mining lease applications from all states, expecting the government to re-open the mining rights.
