Miners irate as Yeddyurappa bans transport, export of iron ore
30 Jul 2010
Battered by accusations that it is not doing enough to curb illegal mining, the Karnataka government on Thursday not only banned the export of iron ore from 10 ports in the state but stopped issuing permits for its transport as well.
Chief minister B S Yeddyurappa said the ban would be in force until the state Lok Ayukta completes its probe into illegal mining between 2000 and 2010 – s process that could take months. A furious mining industry has dubbed the action, particularly the ban on transport of iron ore, as a move to indirectly help those into illegal mining.
The industry says that the chief minister, instead of punishing those carrying on illegal activities, has only robbed business from those who are doing legal business. R K Sharma, secretary-general, Federation of Indian Mineral Industry (FIMI), said those who are into illegal mining don't need permits to carry on their business.
''In Karnataka all but a few are into legal mining. Instead of taking administrative measures to set right the system, the chief minister has stopped giving permits for transport of ore. He lacks political will to provide good governance. This action will not help in curbing illegal mining as those who are into illegal never take any permits, be it for mining, transport or shipping,'' he said.
Sharma said that of the 40 million tonnes of iron ore extracted annually in the state, only 15 per cent is used domestically, while the rest is exported. Both the centre and the state will lose revenue while illegal trade will thrive, he argued.
He said the South Indian chapter of the Association will meet shortly to take a decision on this issue.
