PANAJI: In an effort to resolve the issue of Karnataka banning transport of high grade ore to Goa and also stopping issuance of transport permits, the minsters of Goa and Karnataka would be meeting soon, said an official of the Goa Chamber of Commerce and Industry (GCCI).
"We have been assured by Chief M inister Mr Digambar Kamat, also the Industry Minister, to take up the issue with his counterpart Mr B S Yeddyurappa to resolve the problems faced by local industry affected by the transport ban of raw materials to Goa," said Mr Manguirish N Pai Raiker, vice president GCCI. "Mr Shrinivas V Dempo has also assured us that he will discuss the issue with Karnataka Chief Minister," he added.
Six major industries manufacturing pig and sponge iron are in dire straits as their high grade iron ore raw material stocks are depleting, affecting domestic production and may result in closure of units, Mr Pai Raiker told reporters at a meeting held in GCCI.
The affected companies are Aparant Iron and Steel Private Ltd, (AISL); Sesa Industries Ltd, Shradha Ispat Pvt Ltd, Ambey Metallic, Goa Sponge & Power Ltd and Shrithik Ispat Ltd.
"If the blanket ban on transporting raw material to Goa is not lifted, it will severely affect our operations," said AISL general manager VN Singh. AISL employs 500 direct workers and over 5,000 indirect workers and imports approximately 11,000 tones of ore daily.
Sesa Industries’s pig iron plant with an installed capacity of 2.9 lakh tonnes needs 1,500 tones of ore daily. The company pays `18 lakhs as excise duty to the Central Government, said Mr Naresh Mandrekar manager logistics.
In a recent meeting with the Karnataka deputy commissioner, Karwar district has been notified the ore imported to Goa is purely for self consumption in the manufacturing units and not meant for export, said Mr Raiker, who took a delegation represented by 10 industries along with some local transport representatives.
Mr Raiker said GCCI will soon take an industry delegation to Bangalore to seek addressal with help from the Federation of the Karnataka Chamber of Commerce and Industry (FKCCI) to arrange a meeting with the people concern in
this issue.
Mr Raiker is confident that the local industry will not be affected.
