KOLKATA (miningweekly.com) - The government of the western Indian province of Goa, the largest exporter of iron-ore, is considering the legality of lifting the ban on iron-ore mining in the region.
According to an official in the provincial government, the local Mines and Geological Department has been asked to investigate whether lifting the suspension of iron-ore mining, imposed in September 2012, would be legally tenable particularly in view of the fact that India’s Supreme Court would be hearing the case on illegal mining in the region on August 29.
The provincial government suspended operations across 90 iron-ore mining leases across the western coastal province, which was followed up by the Supreme Court ordering a temporary ban based on the findings of the M B Shah Commission, appointed by the court to probe illegal mining across India.
The court ordered that the ban remain in place until investigations were completed by a committee of the central government. The M B Shah Commission pegged illegal mining of iron-ore in Goa at $4.1-billion.
The provincial government has been under economic pressures following the cessation of mining operations, with the government estimating that around 200 000 workers directly employed across 90 mines had been rendered jobless, while another 800 000 of those indirectly employed in allied sectors such as logistics, including truck fleet operators and ports, had been laid off.
Goa accounted for 5.3% of total Indian iron-ore reserves of 28.52-billion tonnes as per the National Mineral Inventory of 2010. However, it was the largest exporter of iron-ore, shipping out an estimated 53-million tonnes a year before mining operations were stopped in the province.