Panaji: Goa government has asked neighbouring Karnataka to lift the ban on supply of iron ore
across its borders, after industrial units in various parts of the coastal state faced a severe shortage of the mineral.
State Industries Secretary of Goa T M Balakrishnan has written a letter to his counterpart in Karnataka urging him to lift the ban in force from June 15 this year.
Six industrial units, dealing with production of sponge iron and pig iron, may face closure as they have run out of the high-grade ore that was previously supplied from Bellary, Chitradurga, Sandur and Hospet regions of Karnataka.
"If the ban continues beyond next week, it will lead to closure of these units on account of the halt in supply of raw materials, which may further lead to the loss of employment for a number of people," Balakrishnan said in the letter.
Goa Chamber of Commerce and Industry (GCCI) has also been constantly lobbying on behalf of these units to get the ban lifted.
GCCI Chairman Manguirish Pai Raiker stated that the Goa government is in the process of sorting out the issue.
All the six units transport sponge and pig iron to various industries in Karnataka as they are essential raw materials for manufacturing steel.
Raiker said that Karnataka`s ban will hit back on them, as their own steel industries will face shortage of sponge and pig iron.