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HC reserves order on iron ore export ban

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BS Reporter Chennai/ Bangalore
Last Updated : Jan 21 2013 | 5:24 AM IST

The Karnataka High Court reserved its orders on iron export ban imposed by the state government till further orders today.

The Centre, which has been made a party to the present dispute by the court, however, made its presentation saying that the state has no right to impose a ban on iron ore export as it is Centre’s prerogative to act on the matter.

It also said that it would co-operate with the state government for any investigation to check illegal mining in the state.

Earlier, the state government and petitioners had presented their view points regarding this matter.

While the state government had argued that imposition of ban was imperative to check illegal mining in the state and it had every right to impose a ban, the petitioners had argued that blanket ban of export was not under state’s jurisdiction.

The petitioners had also pleaded that a blanket ban was no solution to restrict illegal mining and the state should devise other ways to check such loopholes in the system.

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However, the court, recently made the central government a party to the dispute and is yet to pronounce a judgement on this matter.

Meanwhile, the iron ore industry in the state has been crippled due to the ban and it has had adverse impact on the domestic steel mills.

Ban on iron ore export becomes a debatable issue in the country in the recent time.

While steel ministry is in favour of a blanket ban on iron ore exports to cater to the future requirements of the ore for the burgeoning domestic steel industry, miners are of the opinion that domestic steel industry doesn’t have the know-how to use low grade iron ore.

They are of the opinion, the country only exports low grade iron ore which otherwise will lie idle in the country.

Recently, the Federation of Indian Mineral Industries (FIMI) said that India is losing foreign exchange earnings due to the imposed ban and the reliability factor of importers on Indian market is also waning.

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First Published: Oct 02 2010 | 12:42 AM IST

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