Lok Sabha Question No. 5026 (UNSTARRED), answered on 2018-03-26
Subject: Export of Iron Ore
Ministry: COMMERCE AND INDUSTRY
Asked by: LAXMAN GILUWA, AJAY NISHAD, VIJAY KUMAR HANSDAK

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY (DEPARTMENT OF COMMERCE)

## LOK SABHA UNSTARRED QUESTION NO. 5026(H) TO BE ANSWERED ON 26 th  MARCH,2018

## EXPORT OF IRON ORE

5026(H). SHRI LAXMAN GILUWA:

SHRI AJAY NISHAD:

SHRI VIJAY KUMAR HANSDAK:

Will the Minister of COMMERCE & INDUSTRY ( वािणÏय एवं उɮयोग मंत्री ) be pleased to state:

- (a) the  details  of  total  production  of  iron  ore  in  the  country  and  its  export  to  various other  countries  during  the  last  three  years  and  the  current  year,  country-wise indicating  the  percentage  of  its  production  exported  and  the  foreign  exchange earned therefrom, year and country-wise;
- (b) whether  iron  ore  is  exported  from  the  country  keeping  in  view  its  decreasing reserves, its demand and consumption and after meeting its domestic demand and if so, the details thereof;
- (c) whether it is a fact that the export of iron ore is increasing every year whereas its domestic  demand  is  not  being  met  as  a  result  of  which  the  country  has  become exporter  of  iron  ore  instead  of  becoming  a  producer  of  iron  ore  based  domestic products and if so, the details thereof along with the demand and supply ratio of iron ore in the country;
- (d) whether non fulfillment of domestic iron ore demand is leading to closure of various industries as they are unable to utilize their capacity and if so, the reaction of the Government in this regard; and
- (e) whether the Government proposes to reconsider the export policy of iron ore so as to protect the domestic industries and if so, the details thereof along with the other measures taken by the Government in this regard?

## ANSWER

okf.kT; ,oa m|ksx ea=ky; esa jkT; ea=h ¼Jh lh- vkj- pkS/kjh½

THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SHRI C. R. CHAUDHARY)

- (a)  Details of iron ore production in the country and its export quantity along with foreign exchange earned therefrom is as follows (percentage of Export to Production included) :

(Qty in Million Tonne)

| Year   | Production   | Export   | Percentage of Export to Production   | Foreign Exchange Earned (USD in Million)   |
|--------|--------------|----------|--------------------------------------|--------------------------------------------|

| 2014-15   | 129.32                     | 7.30                 | 5.64%   | 515.27                 |
|-----------|----------------------------|----------------------|---------|------------------------|
| 2015-16   | 158.11                     | 5.44                 | 3.44%   | 191.46                 |
| 2016-17   | 192.08 (P)                 | 30.73                | 16%     | 1533.53                |
| 2017-18   | 145.75 (P) (upto December) | 18.47 (upto January) | -       | 1151.44 (upto January) |

Source : Production: IBM,  Nagpur.

Export: DGCI&S, Kolkata.

India's export of iron ore country-wise during last three years and current year (Up to January 2018) is as follows:

Source: DGCI&S, Kolkata.

|                 | 2014-15              | 2014-15        | 2015-16              | 2015-16        | 2016-17              | 2016-17        | 2017-18(till Jan-18)   | 2017-18(till Jan-18)   |
|-----------------|----------------------|----------------|----------------------|----------------|----------------------|----------------|------------------------|------------------------|
| Country         | Quantity (in Tonnes) | Value (in USD) | Quantity (in Tonnes) | Value (in USD) | Quantity (in Tonnes) | Value (in USD) | Quantity (in Tonnes)   | Value (in USD)         |
| CHINA P RP      | 4287520              | 196807808      | 5061373              | 155280876      | 29474841             | 1449595257     | 14047572               | 841708538              |
| JAPAN           | 1881987              | 184460259      |                      |                | 468513               | 23055931       | 2183571                | 150230320              |
| KOREA RP        | 512722               | 49941839       |                      |                | 74642                | 4336591        | 866055                 | 69226732               |
| OMAN            | 27500                | 701029         | 128                  | 28417          | 416351               | 32020347       | 387604                 | 35364044               |
| VIETNAM SOC REP |                      |                | 4874                 | 287522         |                      |                | 259419                 | 19535137               |
| MALAYSIA        |                      |                | 21340                | 1287290        |                      |                | 218271                 | 9554617                |
| SINGAPORE       |                      |                |                      |                |                      |                | 165155                 | 9358983                |
| KOREA DP RP     |                      |                |                      |                |                      |                | 75888                  | 4656111                |
| U K             |                      |                |                      |                |                      |                | 59592                  | 4468946                |
| U ARAB EMTS     | 648                  | 173001         | 21945                | 1601701        | 135                  | 38941          | 53012                  | 3730313                |
| INDONESIA       |                      |                |                      |                |                      |                | 77440                  | 1860148                |
| KENYA           |                      |                |                      |                | 19360                | 506854         | 44880                  | 1109521                |
| NEPAL           | 2156                 | 81222          | 44169                | 1142243        | 37443                | 861657         | 32009                  | 629094                 |
| PHILIPPINES     |                      |                |                      |                |                      |                | 10                     | 4422                   |
| FINLAND         |                      |                | 3                    | 72             | 27                   | 11022          | 3                      | 397                    |
| NORWAY          |                      |                |                      |                |                      |                | 1                      | 246                    |
| U S A           | 15                   | 766            |                      |                |                      |                | 3                      | 165                    |
| GERMANY         |                      |                |                      |                |                      |                | 3                      | 154                    |
| MALDIVES        |                      |                |                      |                |                      |                | 0                      | 24                     |
| SOUTH AFRICA    |                      |                | 7                    | 331            | 1                    | 59             | 0                      | 12                     |
| SWEDEN          |                      |                |                      |                |                      |                | 0                      | 10                     |
| AUSTRALIA       |                      |                |                      |                | 1                    | 30             | 0                      | 7                      |
| AUSTRIA         |                      |                | 2                    | 61             | 0                    | 10             |                        |                        |
| CANADA          |                      |                | 7                    | 147            | 0                    | 37             |                        |                        |
| IRAN            | 535245               | 77475129       | 290314               | 31772256       | 63358                | 6341448        |                        |                        |
| ITALY           |                      |                |                      |                | 108900               | 10482057       |                        |                        |
| KUWAIT          |                      |                | 108                  | 33661          |                      |                |                        |                        |
| NETHERLAND      |                      |                |                      |                | 65879                | 6217116        |                        |                        |
| RUSSIA          |                      |                | 80                   | 1491           |                      |                |                        |                        |
| SAUDI ARAB      | 314                  | 111433         | 135                  | 22651          | 604                  | 61401          |                        |                        |
| OTHERS          | 50000                | 5517462        |                      |                |                      |                |                        |                        |
| TOTAL           | 7298107              | 515269948      | 5444485              | 191458719      | 30730055             | 1533528758     | 18470488               | 1151437941             |

- (b) Certain grades of Iron-ore are already regulated as per the Foreign Trade Policy 2015-20.  Iron ore of Fe content above 64% (other than of Redi origin to all markets and Iron ore of Goa origin when exported  to  China,  Europe,  Japan,  South  Korea  and  Taiwan  irrespective  of  the  Fe  content)  is regulated  under  Foreign  Trade  Policy  2015-20  by  way  of  canalization  through  MMTC    Limited. Differential  duty  has  also  been  imposed  on  export  of  various  grades  of  Iron  Ore.  Therefore, steps/measures  are  already  in  place  to  regulate  exports  of  Iron  Ore  to  meet  the  domestic requirements.

(c)   No, Madam. As per DGCI&S data, export of iron ore during last three years and current year has shown a fluctuating trend. (d)    Production  of  iron  ore  during  the  last  three  years  is  more  than  the  domestic  consumption  and exports. Iron & Steel being deregulated sector, capacity utilization of plants is based on commercial consideration. (e)  At present, there is no proposal for revision of export policy of Iron Ore.

*****