Shah Commission’s report on Odisha mining recommends on capping production and minimizing exports.Report also suggests auction of mining through competitive bidding

The Justice M.B.Shah commission report which was presented before the union cabinet yesterday has recommended the Odisha government to cap annual iron ore production at 55 million tones and take steps to minimize export of minerals.

In the current financial year the Odisha government has decided to cap iron ore production at 57 million tonnes (MnT) of which 44 MnTt for Joda and 13 MnT for Koira mining circle. In the last financial year the state has produced almost 63 million tons of iron ore whereas the cap was only 52 million tones.

On the other hand iron ore export from the state in the 2012-13 financial year had dropped to 3.7 million tons from 10 million tons in the previous financial year.

Following discussion on the report the union cabinet chaired by Prime Minister Manmohan Singh has constituted a committee of secretaries to prepare an action taken report which would be presented before the parliament along with the shah report.

In its report the Shah commission has recommended for collection of about 60,000 crore from the miners who have breached several regulations.  The report has also recommended for CBI inquiry of the illegal raising of minerals in the Uliburu mines.