Supreme Court seeks clear stand of Government over lifting ban on Iron Ore export from Karnataka, reserves Judgment

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The Supreme Court on Monday reserved its judgement on an application by iron ore manufacturers, seeking direction to lift the ban on export of iron ore in Karnataka.

A bench of the Chief Justice of India NV Ramana, Justice Krishna Murari and Justice Hima Kohli said that we'll first deal with the issue of export and E-auction of the iron ore, whereas, deal with the issue of cap on the iron ore manufacturing at a later stage.

Court was hearing the matter pertaining to lifting of ban on iron ore exports from Karnataka. 

Ministry of Steel's affidavit supported the lifting of ban on iron ore export from Karnataka. The affidavit stated that there must be equality among Karnataka and other States, the policy allows export of Iron ore to all the States and it must be followed.

Advocate Prashant Bhushan appearing for the petitioners submitted that the Ministry of Steel is saying that we need to increase the production of steel for which they would require more iron ore. It doesn't say that the export needs to be done.

However, Senior Advocate Dushyant Dave appearing for the manufacturers stated, "Should all these measures be continued when all the other States has no bar on export of iron Ore?"

Dave further added, "I don't think that Mr Bhushan should come in the way of the development of the country, we have the right of business. Your Lordships should accept the recommendation of CEC (Central Empowered Committee appointed by Supreme Court over the issue)."

However, Senior Advocate Kapil Sibal appearing for the association of steel manufacturers in India opposing the lifting of the ban submitted that "these applications are here because they'll make huge profits from the exports. Ultimately this iron ore will go to China for there steel. They keep on saying that the price in Orissa is much more than Karnataka."

"Even the ministry's affidavit says that the iron ore production needs to increase for the production of steel in our country. If you'll allow the export what would happen," Sibal added.

Sibal further argued that because of the international price all of the iron ore will be exported there would be serious repercussion.

Additional Solicitor General KM Nataraj submitted that the policy says there is no bar on the export, if the policy is applicable to whole India we cannot say that you don't export. "My stand is that the export may be allowed," Nataraj added.

In reference to the Center's stand on lifting or non lifting of ban on export CJI Ramana asked ASG Natarajan to make their stand clear, "One side you say there is a deficit and then you say export," CJI Ramana added.

The bench has reserved it order in the matter while asking the Government to clarify it's stand in a clear “Yes” or “No”.

Earlier, The Chief Justice of India Justice NV Ramana had asked the counsels to ensure that the pleadings they file in cases reach the judges before they reach the media.

The CJI while referring to the affidavit filed by the Ministry of Mines in a plea pertaining to iron ore mining in Karnataka remarked, “I got this affidavit this morning but my PRO says Deccan Herald ran an article on this yesterday itself. Please ensure it reaches us before it goes to media.”

 

Case Title: Samaj Parivartana Samudaya vs Karnataka