MMTC, one of the India’s largest trading house has invited an EoI (Expression of Interest) from overseas buyers/traders/consumers for empanelment of buyers willing to import low grade iron ore (Fe 57%) of Goan origin.
In April 2015, Indian government reduced export duty on low grade iron ore to 10% in order to make Goan iron ore exports competitive from India. Mining operations was suspended in Goa since Sept’12.
Although, if we look back to few previous e-auctions conducted in Goa, the responses were not so encouraging. In the last 7th e-auction conducted on 04 Aug’15, the total quantity put under hammer was 1 MnT, out of which only 55,453 MT could be sold. Participants shared that the e-auction did not receive overwhelming response due to higher base prices. Directorate of Mines & Geology, Goa has sold 5 MnT in seven e-auctions since Feb’14.
Recently, the Government of Goa announced tentative lots to auction 4.7 MnT low grade ore for the upcoming 8th e-auction. However, the auction date is yet to be finalized. It is anticipated that this time the government may reduce base prices of offered lots in the 8th auction to reduce stocks at mine site in order to re-commence fresh mining operation from October’15.
Eligibility Criteria: Annual turn over of firm or company who wish to participate in this EoI should be minimum USD 100 million.
Interested bidders can submit there quotations till 10 Sept’15 at 14.00 hrs.
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