Steel workers union seeks ban on iron ore exports

2013-03-02

The Steel Workers' Federation of India, affiliated to the CITU, is of the view that the Centre should impose a total ban on iron ore exports from the country and the 30 per cent export duty retained in the current Budget would not have the desired effect of curbing iron ore exports, according to P.K. Das, General Secretary of the Federation.

He said at a press meet here on Friday that iron ore in the international market was fetching Rs 7,000 per tonne, but exporters were manipulating it and showing it as Rs 1,000 per tonne and "therefore they will easily and comfortably pay 30 per cent export duty and export ore. It will not have any deterrent effect. The Union Government should, therefore, impose a ban on iron ore exports.”

He said Indian public sector units such as the Visakhapatnam Steel Plant were languishing without captive iron ore mines and, therefore, the production cost was increasing per tonne and they were becoming uncompetitive. “On the other hand, the Union Government is inviting FDI and companies such as Posco into Orissa, allotting them iron ore mines. They will not produce steel here and they will only take away our precious ore. Even if they set up a factory, it will be a small one,” he said.

TUI meeting in Vizag: Das said the Trade Union International, Metal and Mining, was a wing of the World Federation of Trade Unions and the meeting TUI would be held here on April 16 and 17 to discuss the problems and challenges facing the working classes. He said 23 countries are the members of the executive council and representatives from at least 15 countries will participate in the meeting, being hosted by the Steel Workers' Federation of India and the CITU.

He said metals, minerals and other precious natural resources were slipping into the hands of MNCs at a cheap rate and the trend should be arrested. The exploitation of the working classes should also be fought at all levels, he added.

Ch. Narasinga Rao, former President of the CITU (AP), and J. Ayodhya Ramu, the Steel CITU President, said even the Andhra Pradesh Government was not allotting captive iron ore mines to the Visakhapatnam Steel Plant such as Bayyaram in Khammam district or Obulapuram in Anantapur district, in spite of the directive of the AP High Court. On the other hand, the Government was favouring private sector Indian companies and the MNCs.

Source: The Hindu Business Line

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