New Delhi, July 20 (IANS) India should completely ban exports of iron ore having more than 60 percent iron content in it, the Associated Chambers of Commerce and Industry of India (ASSOCHAM) said Tuesday.
According to the ASSOCHAM, the private iron ore miners, making a windfall profit by exporting iron ore, have created a myth that iron ore fines are in excess in India as the Indian steel industry is not equipped to use the same.
‘However, it is a total distortion of facts as most of the integrated steel plants using sinter and pellets use iron ore fines extensively which results in increased efficiency of iron making process,’ the chamber said in a statement.
According to the chamber, China, the largest importer of Indian iron ore, has been increasing export tax on commodities like coal, coke and steel products to conserve its raw material.
Therefore, ASSOCHAM suggested that in case if a complete ban on exports of iron ore with more than 60 percent iron content is not possible, India should at least follow similar practices.
It also said a 40 percent resource rent tax across the mining sectors be imposed to check the windfall profits made by iron ore miners.