BHUBANESHWAR (Commodity Online): Iron ore export from Orissa plunged by more than 80% in January, after the Indian government had raised the export duty of the commodity to 30%. Orissa is the biggest producer and exporter of Iron ore in India.
As per the state's Steel and Mines Department, Orissa exported only 83,588 tonnes of Iron ore in January 2012 compared to 467,724 tonnes in December 2011.
The government had raised the export duty from 20% to 30% in a bid to discourage export of Iron ore. And the latest figures do suggest that the duty hike has been effective.
Some traders and analysts have reduced their 2012 export forecast by almost 50%. India is currently the third largest exporter of Iron ore in the world and if the forecast holds, the country could lose out on its ranking
