Khushi Doshi
Published on: April 19, 2022 at IST
The Centre sought that the Supreme Court lifts the district-by-district restriction on iron ore mining be lifted in order to assist raise steel output, which is now at a laggardly 78 kilos per capita in India.
While a Bench of Chief Justice N V Ramana and Justices Krishna Murari and Hima Kohli reserved its decision on a Petition filed by iron ore mine leaseholders seeking permission to export the mined mineral lying at mining pits in the absence of buyers at e-auctions, the Centre stated that there is no ban on iron ore exports under the existing policy and that lifting the mining cap would facilitate inter-state movement of iron ore.
Amicus Curiae according to A D N Rao, the mined minerals should be E-auctioned first, and the unsold minerals should be allowed to be exported.
According to the Centre, through Additional Solicitor General K M Nataraj, India manufactures roughly 120 million tonnes of steel every year, which requires more than 192 million tonnes of iron ore.
According to the Centre, India’s per capita steel Consumption is approximately 78 kg, one of the lowest in the world, and ‘production of steel has to expand in the foreseeable future, which is dependent on the availability of a commensurate quantity of iron ore.’
Given the reckless mining practises of selfish mine leaseholders resulting in substantial environmental harm, the Supreme Court Ordered a Prohibition on exports and limited the amount of iron ore to be extracted in Karnataka, Odisha, and Goa.
According to the Centre, “In order to remedy environmental harm and move towards a circular economy, steel consumption in the country must be boosted exponentially so that a large amount of steel is produced from scrap (in the future).”
“Furthermore, shipment of iron ore to Foreign Countries may take place in accordance with the Union government’s existing Policy,” the Union Ministry of steel stated in its Affidavit.