Govt reconsider Rs 300 per tonne export duty on iron ore: Rane

New Delhi, Mar 13 (UNI) Goa government has appealed to the Centre to reconsider the introduction of export duty of Rs 300 per tonne on iron ore in the General Budget 2007-08, saying it is vital for the economy of the state.

Increase in export duty on the low standard iron ore to Rs 300 a tonne will jeopardise the trade in iron ore and directly or indirectly effect employment of 50,000 people engaged in this trade.

Goa Chief Minister Pratap Singh Rane, Mine Minister Gimber Kamat and Congress MP from Goa Shantaram Naik today met Prime Minister Manmohan Singh, Finanace Minister P Chidambaram and UPA Chairperson Sonia Gandhi and handed over a memorandum to them.

Mr Naik said that a Committee formed by the Centre had recommended for export duty of above 65 per cent only on high standard iron ore, but the finance minister has covered all kind of iron ore for the export levy in his Budget for 2007-08.

He made it clear that iron ore found in Goa is of very low quality and had no demand within the country.

Mr Naik cautioned that if export duty was not withrawn from the low standard iron ore, it would keep piling up in the state and pose environment problem as well as over 50,000 people will become jobless and will heavily affect the state economy.

UNI