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Ore Transit Halt Causes Rs 20 Mn Daily Loss, says Mining Association

2024-12-12

The Pakistan Bureau of Statistics (PBS) reported an extraordinary 850 per cent surge in gas prices over the past four months.

The Goa Mineral Ore Exporters' Association (GMOEA) stated on Wednesday that continuous disruptions in transporting iron ore from Vedanta Sesa Goa's Bicholim mine block are causing daily losses of nearly Rs 20 million. According to GMOEA secretary Glenn Kalavampara, villagers' "unreasonable demands" are having detrimental financial and reputational effects.

The GMOEA emphasized that the government bears responsibility for addressing these concerns, as it had auctioned the mining blocks at a premium. Kalavampara explained that Vedanta had reported a two-week halt in road transportation at the Bicholim mine due to these demands, resulting in significant financial losses. He also noted that temporary route requests remain unresolved, a situation he described as inconsistent with the principles of ease of doing business.

Villagers from Mathawada-Sarmanas, Pilgao, including local farmers and women from the ST community, have blocked trucks transporting iron ore, alleging that the vehicles are damaging their fields. Kalavampara remarked that preventing transportation despite obtaining all necessary permissions is unfair to operators, especially on traditional or dedicated routes. He stressed that such delays harm not only the operators but also the government and economy, particularly given the challenges already faced by the mining sector. He urged the authorities to resolve the impasse swiftly.

The GMOEA reiterated that since the government auctions mining leases at a premium, it has an equal responsibility to address the concerns without imposing additional costs on leaseholders. The association pointed out that mining companies already pay statutory dues, including royalties, district mineral fund contributions, and other taxes.

While expressing optimism about ongoing discussions between the village groups and the mine leaseholder, the GMOEA emphasized the need for practical interim solutions to avoid further complications. Kalavampara expressed hope for a swift resolution that considers both the villagers' and the operator's concerns, prevents future disruptions, and discourages unlawful actions.