'Low global prices have slowed down e-auction of ore in Goa'

The process of e-auctioning of iron ore lying at jetties, MPT and mines in Goa is not picking up pace due to the low prices in international market, a senior member of the Supreme Court-appointed monitoring committee said today.
The state government has e-auctioned only 4 million tonne of the total 15 MT ore lying at jetties, mining leases and the Mormugao Port Trust.
The monitoring committee has, however, expressed satisfaction over the e-auctioning process.
"There are several factors that are responsible for the e-auctioning being done at slow pace. The state had rainy season since April till now. Also the prices of ore in the international market are low," U V Singh, member of the committee, said here.

"We are quite satisfied with the process adopted by Goa government to e-auction the ore," said Singh, who would be submitting the committee's report to the apex court by October 21.
Slowdown in the Chinese economy is affecting ore exports, he said. Iron ore from Goa is largely exported to China.

The existing China market had been monopolised by ore producers from Brazil and Australia, he added.
Very little of the ore produced in Goa is consumed in the country, so the exports are crucial, he said.
"I know that there is only one buyer in Karnataka that takes the ore (in Goa), but for that too, there are constraints of transporting. So the buyer is purchasing the ore from Karnataka itself," Singh said.

The state, being the owner of the ore, had to get the best prices, he added.
It was up to the state government to decide the timeframe for exporting the entire 15 MT of ore, he said, adding that the committee would not set any deadline. "The state government is wise enough to take action," he said.