PANJIM: The 2015-16 iron ore mining season was marked by a logjam between truck owners and mining firms over ore transportation rates. Though the State government’s intervention at that time helped resolve the crisis, the issue is likely to come up again this season. Over 6000 trucker owners are up-in-arms seeking a hike in the transportation fare failing which they may boycott the movement of ore.
As many as 6120 trucks, equipped with global positioning systems (GPS), are registered with the Directorate of Mines and Geology to ferry 20 million tonnes of ore at a transportation rate of Rs 11 per tonne per kilometers, a rate that is not profitable to this sector. Besides, trucker owners are also facing the heat of taxation in form of road tax.
Thousands of people are directly or indirectly depended on the ore transportation business. With little profit in hand, truck operators are not been able to hire drivers and helpers on their vehicles, and are looking for State government support in increasing the annual ore production cap and a hike in rates.
Another big worry haunting the sector is competition from politicians involved in the transportation business that is snatching away the bread and butter of the other truck onwers.
All Goa Truck Owners Association (AGTOA) President Nilkhant Gawas said that with the cap of 20 million tonnes, mining firms have recruited few trucks for transportation of ore and the business is not profitable. “Government needs to approach the Supreme Court for a relaxation in the annual cap. The expert committee has already proposed a hike in the cap by 27 million tonnes and the report is yet to be accepted by the Court. This needs to be expedite,” he said.
Gawas said that the current rate offered, of Rs 10 per tonne per kilometer, is not viable. “We are looking for up to Rs 14 to 17 per tonne per kilometer based
on the diesel price and value of ore in the international market,” he said adding that failure to look into the demands would force them to stop ore transportation.
Truck owner Dilkush Gawas said, “Our trucks are without any business since the mining ban in 2012. During the last season I could not get any business due to delay in fixing GPS to the vehicle. This season, I am looking for some business but the transportation rates offered by mining companies are not viable,” he claimed adding, “Currently over 200-400 trucks are involved in transporting the e-auctioned ore, most of which are registered with the mining companies and few belonging to one MLA from South Goa.”
The truck owners’ protest last year had turned ugly with several incidents of violence, where trucks belonging to mining firms were stoned and workers had been hurt. The fight was against Sesa Goa, the subsidy of Vedanta Resources which was the only company to resume operations last last season, followed by others.
After a two-month long protest to hike the rates from Rs 8 per tonne per kilometers to Rs 11.27 per tonne per kilometers, a compromise was arrived at Rs 11 per tonne per kilometer.
