Vedanta, earlier known as Sesa Sterlite which has remained a major iron ore exporter prior to the mining halt in Goa imposed in the year 2012, is all set to resume its iron ore exports from Goa this month.
A market source shared that Vedanta is all set to restart iron ore exports and the company has signed contracts for the same with Chinese steel mills. The company is about to sell auctioned cargoes to China via three panamax vessels and loading of the cargoes is expected to start in coming 3-4 days.
The officials from the company urged the centre govt. yesterday (07 Oct’15) for a resaonable taxation regime. Indian companies are incurring 45% on taxes for low grade iron ore exports (including 10% export duty on low grade, 10% Goa permit and SPV fund, 15% royalty and District Mineral fund-10% ) which is comparatively very large compared to those of the countries like Australia, Brazil and South Africa.
The company resumed iron ore mining operations in the state of Goa around end of Sept’15. Vedanta Resources is the 1st company to commence their mining operations despite poor market conditions. Apart from its Codli Mines, the company also opened its 2nd mining lease – Bicholim Mines in Sept’15. Both Codli and Bicholim mines are company’s major mines and together form a total of 4.5 MnT pa capacity out of 5.5 MnT pa.
The company remained the major bidder in the Goa iron ore e-auctions conducted last month. And procured 569,970 MT iron ore ( 410,480 MT fines, 89,240 MT lump and 70,250 MT ROM).
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