With an aim to boost India’s manufacturing capabilities, Government's think tank Niti Aayog has formed an inter-ministerial committee headed by Steel Secretary Aruna Sundararajan, which will submit a report on the need to shift from exporting iron ore to its value-added products.
Niti Aayog has raised the issue of iron ore being exported at a price, which is “substantially lower” than the rate at which it is available for the domestic industry. Developing strong value-added products industry will strengthen the manufacturing sector in the country, which will not only create jobs and bring in more foreign exchange but will also give a boost to 'Make in India' initiative. Niti Aayog has stressed extraction of minerals should benefit the development of a robust value addition industry, through strengthening of the manufacturing sector.
In 2014-15, India exported ores and minerals worth Rs 1.78 lakh crore, a decline of 8.58 percent from 2013-14. India, which accounts for about 4 percent of the global production, exported around 7,491 tonnes of iron ore worth Rs 3,212 crore in 2014-15, while it imported 12,093 tonnes worth of about Rs 6,595 crore, during the same period.