New Delhi, India:
Much awaited call on cutting down export duty on Iron ore seems to be taking little more time. According to sources close to this matter, highlight that the Ministry of Finance is in the process of collecting data and analyzing the impact (Export duty proposed at 20% from a current level of 30%).
However experts believe that a nominal cut of 10 per cent is not enough to boost exports from Indian market, taking in account the logistical issues. With increase in imports and domestic production of coal, which is a priority sector for the government, it will be difficult to arrange required rakes for exports of iron ore.
Considering the fact that Goa may remain closed, India is unlikely to go beyond what it had exported in 2012-2013, which is around 18 million tonnes.According to provisional data released by customs department, India had exported around 3 million tonnes during April -Jun 2013.
Federation of Indian Minerals and Industries (FIMI) is lobbying hard to get some relaxation in export duty. On the other hand steel manufactures have made their stand clear that any reduction in export duty will hurt their margins.
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