The Goa Mineral Ore Exporters’ Association (GMOEA), which has represented the state’s mining sector for over six decades, has raised serious concerns over reports that the Government of India may extend export duties to low-grade iron ore (below 58 per cent Fe).
In a formal communication, GMOEA urged the government to reconsider such a move, warning that it could severely disrupt mining operations in Goa, where the majority of iron ore is low-grade and largely unsuitable for domestic steel production. The association noted that imposing export duties could lead to stockpiling, wastage of resources, and significant economic and livelihood losses in the region.
The concerns come in the wake of a high-level stakeholders’ meeting held on August 26, co-chaired by the Minister of Commerce and Industry, the Minister of Coal and Mines, and the Minister of Environment, Forest, and Climate Change. Discussions at the meeting reportedly included potential reforms to enhance iron ore and steel production, including changes to the export duty regime.
While appreciating the formation of an Advisory Committee on September 2 to address sectoral challenges, GMOEA expressed apprehension over Item E of the Committee’s Terms of Reference, which considers rationalising export policies. The association argued that extending export duties to Goa would offer minimal national benefit due to the state’s low-grade ore being largely export-oriented, with limited domestic demand.
“Goan iron ore is predominantly low-grade, making it less suitable for domestic steelmaking, which prefers higher-grade ore from eastern India or Bellary for cost efficiency,” GMOEA noted. “Even local pig iron units largely depend on imported or non-Goan ore, highlighting the export-oriented nature of Goan mining.”
The association also highlighted potential revenue losses, estimating over Rs 800 crore annually from just three operational mines, with greater losses expected as more mines commence operations. Avoiding export duties, it said, would protect livelihoods, sustain mining viability, and maintain fair trade practices in a sector still recovering under the auction regime.
According to the Ministry of Mines Annual Report 2025, India is fully self-sufficient in iron ore, and low domestic demand for Goan ore has contributed to mine-head stockpiles increasing from 126 million tonnes in 2020–21 to an estimated 180 million tonnes in 2024–25, raising environmental concerns.
GMOEA stressed that at this critical phase, any imposition of export duty could disrupt ongoing operations, affect project viability, future auctions, and state revenues.