Says mineral reserves would exhaust within 25 years if exports continue

The parliamentary standing committee on coal and steel has recommended a ban on iron ore exports, arguing mineral reserves would be exhausted within 25 years exports continued.

If the M B Shah Commission's proposal for a complete ban on iron ore mining in Odisha is implemented, it may result in a fall of 11 million tonnes (mt) in the combined captive iron ore output of Steel Authority of India Limited (SAIL) and Tata Steel.

Earlier, iron ore mining was banned in Goa, after it was found norms related to the environment had been violated. The commission is finalising its recommendations on irregularities in iron ore mining in Odisha. If the commission suggests a blanket ban on mining, SAIL would lose four mt of captive iron ore output, while Tata Steel would lose seven mt of iron ore a year.

Steel producer Southern Ispat & Energy Ltd (SIEL) is planning to enter into backward integration by setting up a 1.2 -million tonne pelletisation plant in Chattarpur, Madhya Pradesh. With an estimated investment of Rs 300 crore, the plant is set to start operations by April 2014.

SIEL will invest Rs 150 crore in the first phase. The remaining investment would be done in the second phase. The company has already acquired 100 acres in Chattarpur and is expected to start its beneficiation and pelletisation process by April 2014, said a senior company official.

Wheat an exception but observers say 5-10 per cent damage possible clear trend likely next month

The optimism of policy makers that an increase in the rabi crop output in 2012-13 would compensate the loss of kharif production due to monsoon delay might be dashed, as a cold wave is taking a toll. Sowing has risen 2.6 per cent but even so, overall agricultural output this year might be lower than last year due tothe impact of the cold on pulses, vegetables and oilseeds. However, wheat output might get a boost due to the presence of moisture in the weather.