The state government, in its affidavit has appealed to the Supreme Court to increase annual production capacity of some mines for 2 years.
There is acute shortage of Iron ore. The Iron ore requirement for steel industry is about 40 MnT, but currently we are producing around 22 MnT Iron ore in this financial year. State Iron ore production for FY13 was 18 MnT.
There would be a shortage of 22 MnT Iron ore owing to which the government appealed at the Supreme Court to raise annual production of certain mines for 2 years.
There are 33 ‘A’ and 41 ‘B’ category mining leases for which the Reclamation & Rehabilitation (R&R) proposals have been approved. About 34 mines of 13 A & 21 B category mining leases are yet to get R&R proposal.
14 proposals are pending with the Indian Council of Forestry Research & Education; 12 are yet to submit data for R&R proposals and 8 leases are yet to be approved by the Central Empowered Committee (CEC), said the Chief Secretary Kaushik Mukherjee in the affidavit. He also requested to treat the leases which failed to submit their R&R plan as lapsed.
Karnataka Iron ore miners & stockyards sell Iron ore through e-auction process. Some private miners are selling their material on high base as the buyers have less options, if the production capacity increased the base price of Iron ore could come down in e-auction.
Total 25.7 MnT of Iron ore sold through MSTC (Metal & Scrap Trade Corporation) e-auction in 2013 and the major buyer for Iron ore was JSW Steel.
– Sourced
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