Keonjhar (Rasanand Behera) Mar 22: Ananta Nayak, Member of Parliament from Keonjhar constituency, has taken a proactive step to address the anomalies in iron ore classification and the publication of Average Sale Price (ASP) by the Indian Bureau of Mines (IBM). After submitting a formal letter to Shri G. Kishan Reddy, Hon’ble Minister of Coal and Mines, Nayak personally met the minister to discuss the matter in detail.
In his letter and subsequent meeting, Nayak highlighted that prior to April 2022, IBM categorized iron ore based on its actual grade and size. However, since April 2022, IBM has been publishing ASP for Calibrated Lump Ore (CLO), which includes a broad category of “62% Fe and below (any size).”
This change has adversely impacted high-grade iron ore mines in Odisha’s Keonjhar district. Nayak pointed out that the prices of high-grade iron ore have been artificially reduced, while the prices of low-grade iron ore have been inflated. This has led to significant revenue losses for the state and created challenges for low-grade iron ore mines, especially those acquired through auctions.
The MP emphasized that the issue has already been brought before the High Court, which directed IBM and the state government to address the matter within a stipulated time frame. Despite recommendations from the Director of Mines, Odisha, and other authorities to rectify the definition of CLO, the issue remains unresolved.
During his meeting with the minister, Nayak urged immediate action to rectify the anomalies and safeguard the interests of the state and the mining industry.
MP Ananta Nayak Meets Minister G. Kishan Reddy to Address Iron Ore Pricing and Classification Concerns
