Orissa likely to regulate export of iron ore and chrome

"I have accepted a proposal from the Industries Department on putting restriction on export of iron ore and chrome," state`s Steel and Mines Minister Raghunath Mohanty said.

The Industries Department also suggested regulation of private mines exporting minerals to other states and abroad, he said.

The move came in view of the state signing about 80 MoUs with different companies for setting up steel, aluminium, cement and power plants in the state, Mohanty said.

If there was no regulation on the export of minerals, mostly iron ore and chrome, industries within the state could face shortage of raw materials in coming days, he said.

He said the proposal would soon be sent for the approval of the chief minister.

Mohanty said the Department also suggested restriction on export by private mines. "Private mines should be asked to sell 60 per cent of their production within the state and rest to other states," he said.

Out of the 77.19 million tonne (MT) of iron ore produced in 2009-10, 16.35 MT was exported to China and other countries. Similarly, out of the 3 MT of chrome produced during the period, 1.63 MT was sent abroad, sources said.

The state government recently restricted state-owned Orissa Mining Corporation on use of iron ore and chrome.