Panaji
Goa Mining Association (GMA) has sighted serious concern over recent chaos engulfing the mining sector in the state, stating consequences of the truckers' agitation and their practices of opposition.
The association also sighted that a delay in fiscal correction towards rationalising taxes will only help rival international mining firms in extending their stronghold on iron ore market overseas.
In a press release issued, Narayan Bandekar, GMA President noted, “Even efforts towards resumption (of mining) are being stone walled (recently) by transporters contractors seeking higher freight rates and illegally obstructing transport”.
In the last months, agitating truck-owners have hindered transportation of even e-auctioned cargo by stopping its delivery to the port from mines. The truck-owners are demanding that the state government should fix the rate at which the ore is transported.
"The freight rates is a subject of discussions between individual companies and transporters and have to be settled in this manner only,” GMA said.
Goan mining industry is taxed at a much higher rate than their competitors in other countries. To create a level-playing field, GMA demanded that export duty on low-grade iron ore should be done away with and various levies imposed by the state government post mining ban of 2012, which amount to almost $1 per ton, should also be removed.
The directorate of Mines & Geology (DMG) had fixed a rate of Rs 11.2 per ton per kilometre for transporting e-auctioned cargo considering it to be state-owned property. Truckers, however, are demanding a rate that would be unfeasible for companies as the recently revived sector staggers back to its feet.
GMA said, “The recent media coverage by a certain transport association claiming it having settled rate with a major company at Rs 11.2/ton is, therefore, misleading and mischievous as it appears to be a rate prescribed by DMG solely for auctioned cargoes to be successful few months back”.
