Mining and steel firms in a limbo on tax uncertainty and weak prices
2 weeks ago

Mining and steel firms in a limbo on tax uncertainty and weak prices

Live Mint  

Mining and steel companies are caught between a rock and a hard place. A lingering concern is that the Karnataka Tax Bill 2024—which proposes to impose tax on a retrospective basis from 2005 and rates up to 3x the existing royalty rate—could significantly erode their profitability. The casualties are NMDC Ltd and Vedanta Ltd, the mining companies, and JSW Steel Ltd, which has a large steel-making facility in Vijayanagar, Karnataka. With the proposal of differential tax rates based on the method of leasing, Vedanta and NMDC would have to pay tax at 3x and 1.5x the royalty rate, respectively, whereas JSW Steel would have to pay only ₹1 per tonne. A reduction in royalty rate from 15% to 10% and a cap of 100% on mining tax outflow would be revenue neutral for Karnataka without denting profitability of companies, he added.

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History of this topic

NMDC slashes iron ore prices by ₹350 a tonne
3 hours, 25 minutes ago

NMDC slashes iron ore prices by ₹350 a tonne

The Hindu  

State-owned miner NMDC has reduced iron ore prices by ₹350 per tonne, for both lump and fines, effective January 9. Consequently, lump ore costs ₹6,000 per tonne and same quantity of fines ₹5,060, the company on Thursday said in filing on price of the commodity from its Baila mine. In the previous price revision on October 23, NMDC had increased …

Karnataka’s new minerals tax stumps iron ore mining companies
3 weeks, 1 day ago

Karnataka’s new minerals tax stumps iron ore mining companies

Live Mint  

A proposed legislative bill in Karnataka could triple the tax burden on miners operating pre-auction era iron ore mines, potentially squeezing their margins and triggering ripple effects on steel prices, according to experts. Together, these companies account for a significant portion of Karnataka’s iron ore production, which makes up roughly 15% of India’s annual output of 280 million tonnes, according …

JSW Group explores expansion into copper, aluminium, has engaged consultants, says top executive
4 weeks ago

JSW Group explores expansion into copper, aluminium, has engaged consultants, says top executive

Live Mint  

The JSW Group, which has the largest steelmaking capacity in India, is exploring entry into making other metals, including copper and aluminium, JSW Steel chief executive officer Jayant Acharya said. JSW Steel, along with Aditya Birla Group’s Hindalco, was in contention to acquire two copper mines in Jharkhand owned by public sector firm Hindustan Copper, PTI reported in October citing …

BJP's GVL asks NMDC to give preferential treatment to RINL
1 year, 4 months ago

BJP's GVL asks NMDC to give preferential treatment to RINL

Deccan Chronicle  

VISAKHAPATNAM: BJP Rajya Sabha member G.V.L. Narasimha Rao said as a central public sector enterprise, RINL in Visakhapatnam deserves preferential treatment by NMDC, another CPSE. Narasimha Rao recalled that since RINL’s inception, NMDC had till a few months ago been supplying to the plant in Visakhapatnam iron ore fines, lump and sized ore from Bailadilla mines in Chhattisgarh. In this …

Steep steel prices hurt several sectors as China gorges on ore
3 years, 11 months ago

Steep steel prices hurt several sectors as China gorges on ore

The Hindu  

With several automakers recently announcing price increases to offset input costs, steel prices have come under the spotlight. Market intelligence firm SteelMint said on Friday that Indian iron ore exports had doubled to 40.7 million tonnes in 2020, from the previous year’s 19.1 mt. The ISA wrote to the Prime Minister’s Office last month flagged a dip in domestic iron …

NMDC Hikes Iron Ore Prices by Rs 200 Per Tonne
4 years, 3 months ago

NMDC Hikes Iron Ore Prices by Rs 200 Per Tonne

News 18  

The country's largest iron ore miner NMDC on Thursday increased rates of the mineral by Rs 200 to Rs 3,450 a tonne with immediate effect. In a BSE filing, NMDC said it has increased the price of lumps or high-grade iron ore by Rs 200 to Rs 3,450 per tonne, and that of iron ore fines or inferior grade ore …

NMDC slashes iron ore prices by Rs 50 per tonne; new rates are effective from 14 March
4 years, 9 months ago

NMDC slashes iron ore prices by Rs 50 per tonne; new rates are effective from 14 March

Firstpost  

New Delhi: The country’s largest iron ore miner NMDC has slashed prices of lump ore and fines by Rs 50 per tonne. NMDC has reduced the price of lumps or high-grade iron ore by Rs 50 to Rs 3,150 per tonne, the company informed the BSE on Monday. The price of iron ore fines, which are inferior grade ore, has …

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