The hike in export duty on iron ore, in the latest Union Budget, will have adverse affect on Goa's economy, Congress MP from Goa Shantaram Naik said today.
The export duty on iron ore has been raised from 5% to 20%, to arrest export of ore from the country.
In a statement issued here, Naik said iron ore extracted from Goan mines is of low grade and that it has no market in the country.
The notion that pallets can be manufactured from such ore is not correct, he said, adding the only palletisation plant in Goa has now been closed.
"Mine owners may survive in their own way even with the increase of duty but the fate of 15,000 truck owners who are engaged in the business of transporting ore, and in general, fate of the 20% population which directly or indirectly depends upon iron ore activity in Goa, will be doomed," he pointed out.
Goa exports around 40 million metric tones of iron ore annually through its two ports.
The state has 100-odd mining sites, which are situated in the remote talukas of Sanguem, Quepem, Sattari and Bicholim.
