More importantly, the CoS suggested putting brakes on the multi-million dollar domestic mining industry’s free run on iron ore exports by endorsing the Steel Ministry's proposal to impose 15 per cent ad valorem duty on its exports. "The mining companies will take a combined hit of around Rs 8,000-10,000 crore," Federation of Indian Mineral Industries (FIMI) secretary general R K Sharma said. The Federation of Indian Chambers of Commerce and Industry (Ficci) has said that the export duty would affect prospective investments worth Rs 1 lakh crore. In a representation to Finance Minister P Chidambaram, it said that the government's decision would not only affect revenues of steel companies, but also their prospective investment plans.

Money matters

•Centre is mobilising more than Rs 10,000 crore from the export duty, and hence is not inclined to scrap it

•With the 15 per cent duty on export of iron ore likely to mobilise another Rs 10,000, it would be a welcome relief in such pressing times