he festival of lights seems to have brought the much-awaited brightness and cheer in the life of Prakash Vantekar and family who are proud of his analytical mind, as he foresaw the looming risk in mining business and diversified business by opening a shop.
The owner of four trucks, which ply in Sonshi village, Vantekar is now left with two trucks that do not promise basic returns, let alone profits. Thus, in the present scenario, his move of opening a retail outlet seems like a masterstroke.
“The profit is not as much as it was during the mining boom of 2005 or even during the period prior to the ban (September 2012). But certainly, I don’t have to think twice before spending now,” Vantekar, a father of three children, opined.
After ruling the State economy, the iron ore mining industry witnessed one-and-half year ban from September 2012 to April 2014. However, the actual mining business resumed only in November 2015, though at a very low scale, with a cap of 20 million ton fresh production annually, as against the earlier capacity of 50 million tons (illegal extraction).
The period also saw people living in iron ore rich belt getting apprehensive and uncertain. But there were a few who seemed smart and took a calculated risk of diversifying. And while many have lost their fortunes, there are few like Vantekar, who took the right decision at the right time, to invest money in non-mining business.
“You see the situation. Mining has been banned again in Sonshi. And now we are not even sure whether our truck will get business or not,” he says.
Sonshi village houses 13 mining leases, belonging to some leading mine owners like Sesa Goa and Fomento. However, in April, the operation of all the leases was suspended by the government due to the eve-increasing pollution. The lease also came under scanner of High Court, for causing water and air pollution in the vicinity.
“What happened during mining ban was horrible. It is a miracle that people didn’t commit suicide. I have seen families going penniless within months and trucks rusting in front of my eyes,” said Raghoba Parab, who lives at Navelim near Sankhali.
Back then, Raghoba owned a truck and drove it himself. “I have procured loan from the bank and could repay a large part of it because I had no liability of employing a driver and I used to take care of the vehicle myself,” he said.
But when mining stopped, I immediately took the decision of selling my truck and turned to another business, he said.
Raghoba now has a chicken centre at Navelim.
“I’m sure chicken is something which will never face a ban,” he said with a twinkle in his eyes and abroad grin.
The profits may have plummeted but Raghoba feels that there is a financial security in this business. “Given a chance I would like to go back to the mining business but I don’t dare to take any major step right now,” he said.
Wait and watch has been a stand taken by many in the State’s mining belt. The resumption of iron ore export has not brought smiles on their faces as the profits are not promising.
The areas of Velguem, Dignem, Surla, Sonshi, Honda, Navelim, Pissurlem which witnessed economic meltdown during the mining ban are yet to recover in the real sense. And the situation remains the same in these belts even after the resumption of mining.
It seems now, the profits are scarce and problems galore. The restrictions coupled with a slump in the rate of iron ore in the international market, has brought this business, once described as the backbone of Goan economy, to its knees.
While Sonshi village hit the national headlines for its green agitation during last season, the situation here remains grim in the current days. Besides, uncertainty looms large over the decision whether mining will resume and whether the region would ever witness its ‘golden years’ again.
But amidst the gloom, rare heartening stories too are told. This story, about a young man who aspired to plunge into mining business too is worth narrating. We met a young man called Sarvesh Waghurmekar in Sonshi village.
Sarvesh, a degree holder from Government College, Sankhalim, always dreamt of venturing into mining business and also planned to buy a truck after completing his studies.
Unfortunately (or fortunately) for him, the year he got the degree, the mining ban was clamped. Being the eldest of the family and seeing impending responsibilities, Sarvesh opted for a service-related job and began applying in various industries. As luck would have it, he finally got a job in an Information Technology firm at Verna Industrial Estate.
Soon the mining ban was lifted and the business promised to be as usual. It was then Sarvesh thought of getting back to his original aspiration of becoming a businessman. However, by the time, he could actually get a loan and buy truck, the Sonshi agitation happened and he was saved from the ignominy of being jobless.
Today, Sarvesh is amongst the very few people in the village who have a secure source of income, as he had not tendered his resignation from his job at Verna.
The mining season is yet to resume in the State. Last season, as many as 41 mining leases were in operation.
The situation in North and South remains the same. In the mining rich belts it was observed how the government financial assistance for unemployed and those whose trucks remained off the roads were helped to invest in new revenue-generating business.
In Sanvordem-Curchorem belt, which is one of the mining hotbed, the youth are still hoping for full scale resumption of mining activity.
Thirty-year-old Ganesh Sanvordekar owned two trucks; he sold one and now has taken an agency to sell paints.
“This is the only way I could survive. I didn’t want to sell both my trucks as I am expecting the mining to gain pace. Till then I will manage my finances through this agency,” he said, indicating that he still sees the mining business as his future.
While it was expected that the mining ban would divert the youth towards greener professions like farming, but it did not happen.
After getting into a habit of making quick money through mining, the youth in Sanvordem-Curchorem-Sanguem belt are averse to soil their hand in the farms. But there are a few exceptions like in the village of Dabhal in Sanguem taluka where farmers-turned-truck owners have given more attention towards their farms.
“It was but natural that when mining was closed we had lot of time at our disposal which we spent in the farms. It helped us to get better produce,” said Sashank Tendulkar.
Tendulkars, Velguenkars and Prabus from Dabhal have inherited huge tracts of betel nut farms and coconut groves from their ancestors. When mining began in the areas like Codli and Sanvordem, they invested money into trucks and mining machinery.
Sashank says that they always knew that mining was not a long-term economic activity for them, as farms would last forever. “We did not give up on farming. So now even if mining is slow paced we can wait,” he added.
Ironically, the only worry haunting these families is that with resumption of mining activities in the area, agriculture may be neglected and farms may be destroyed again.
