Miners seek moratorium on dues as lockdown cripples operations

Experts believe Q1 will be a complete washout for the sector; assuming subdued activity during monsoons or Q2, revival is only expected towards the second half of FY21

A nationwide lockdown to tame the deadly Covid-19 pandemic has brought mining operations to its knees. Faced with immense pressure to service existing loans and incur costs towards manpower salaries, miners have asked for deferment of statutory dues like mineral royalties, District Mineral Fund (DMF), National Mineral Exploration Trust (NMET), transfer charges and other levies & cess imposed by the state government till March 2021.

Federation of Indian Mineral Industries (Fimi) has sought a slew of measures from the Union finance ministry to help the mining industry survive the unprecedented onslaught of a virulent pandemic.

“With moratorium on statutory payment, mining companies