Calling for ban on iron ore export, Yeddyurappa seeks CMs' meet

July 04, 2010 02:56 am | Updated 02:56 am IST - BANGALORE:

Karnataka Chief Minister B.S. Yeddyurappa has requested Prime Minister Manmohan Singh to enforce a total ban on export of iron ore from the country and has suggested that a meeting of the Chief Ministers of the mineral-rich States should be called to finalise a comprehensive policy.

In a letter to the Prime Minister on Saturday, he said: “Despite our best efforts, the pressure for exporting iron ore continues in a big way. Such unbridled exports of minerals from our country will only lead to loss of precious natural resources. At this rate, in a very few years, our country will exhaust all its mineral resources. Unless this is stopped, we will be doing a great disservice to our future generations.”

Mr. Yeddyurappa, who is facing the wrath of the Opposition in the Karnataka legislature on the issue, said: “It is high time we discontinue the policy of permitting export of raw materials, particularly precious natural resources which are not renewable. There is an urgent need to put in place a comprehensive policy to ban export of iron ore and to make it mandatory that iron ore and other such precious minerals are utilised for value addition within the country itself.”

Major concern

The Chief Minister said the issue of overexploitation of mines and illegal mining has been a major concern of all the mineral-rich States. Despite efforts by various State Governments, these problems are persisting.

A major reason is the indiscriminate export of iron ore and other such minerals. Unless certain curbs are placed on export, undue exploitation and illegal mining are likely to continue.

Value-added policy

He said the BJP government in Karnataka has introduced a value-added policy in the mining sector.

As per this policy, put in place in December 2008, the State government recommends mining leases only where the applicant demonstrates that there is value addition within Karnataka.

The applicant has to either process the iron ore himself or has to tie up with another local manufacturing processing company.

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