As per SteelMint analysis, iron ore output may surge 20% in FY16. The country’s iron ore output is likely to be around 155 MnT in FY16.
India’s iron ore production in FY15 was registered at 129 MnT. Due to mining ban imposed by the Indian govt. upon illegal mining, production figures were badly hurted. But, as many Indian iron ore miners had resumed mining operations in FY16, iron ore production is expected to touch to a level of 155 MnT by the end of FY16.
Following the enactment of the amended Mines and Minerals (Development & Regulation) Act, Odisha had issued orders to extend validity of 50 odd mine leases. Of this, 27 iron ore mines have re-commenced production, in hopes to raise output.
Production in FY16 is expected to reach at 155 MnT mark. Odisha, the largest state producing iron ore is pegged at 70 MnT this fiscal, up from 47 MT that the state had achieved in FY15, owing to shutdown of 26 iron ore mines after a Supreme Court order in May 2014.
Karnataka’s production may increase by around 14% may touch 25 MnT , which was 21 MnT in FY16. Production from Chhattisgarh is likely to drop down to 26 MnT which was 31 MnT in FY15, as the largest iron ore producer NMDC’s production had been significantly dropped down. Other states like, Jharkhand is likely to produce 23 MnT in FY16. In addition, owing to resumption of fresh mining in Goa, iron ore production from Goa may contribute to 5 MnT in FY16.
Leave a Reply