Goa Trade Bodies Urge Action on Mining and Stamp Duty

Goa’s apex trade bodies, GMOEA and GMA, call for the swift resumption of iron ore mining and rationalization of stamp duty. Explore their joint appeal to the government for sectoral growth and sustainability.

Urgent Plea for Mining Resumption and Stamp Duty Rationalization

In a joint effort, Goa Mineral Ore Exporter’s Association (GMOEA) and the Goa Mining Association (GMA) are pressing the State government for the immediate resumption of iron ore mining, halted since February 2018. Simultaneously, they advocate for the rationalization of stamp duty to ensure growth and sustainability in the sector.

Mining Resumption: A Call for Economic Boost

GMOEA and GMA collectively approached Chief Minister Pramod Sawant, emphasizing the critical role resuming mining activities could play in boosting Goa’s economic growth. They specifically target the e-auctioned nine mineral blocks for immediate attention, citing positive ripple effects on ancillary industries such as truck transport, barges, and local shops.

Government’s Stance on Stamp Duty

Addressing the media, Chief Minister Pramod Sawant expressed the government’s commitment to ease of doing business. He proposed a potential extension of the time frame for leaseholders to pay the stamp duty charges, signaling a more flexible approach.

Stamp Duty Challenges and Recommendations

The associations presented a memorandum urging the rationalization of stamp duty, emphasizing its impact on the recently auctioned nine blocks. Glenn Kalavampara, GMOEA general secretary, highlighted challenges in terms, higher acquisition costs, and the need for realistic and fair fees. They pointed out that the existing stamp duty provisions, enacted in 2013 and 2014, pose significant challenges to the viability and sustainability of mining operations, having originally been designed for a 20-year period but now applied to a 50-year duration.

Outdated Stamp Duty Provisions

The stakeholders noted that stamp duty charges, initially introduced as an interim measure to address economic challenges, are now disproportionate. They argue that the charges are out of sync with those in other mineral-rich states across the country. The associations propose a rationalization of stamp duty as a crucial amendment to foster growth and sustainability in the Goan mining sector.

Mining Reforms for Socio-economic Upliftment

GMOEA and GMA believe that the suggested mining reforms can contribute to socio-economic upliftment and increased employment opportunities in the state, aligning with the broader vision of Swayampurna Goa.

In conclusion, the associations underscored the importance of addressing existing challenges and fostering an ecosystem that encourages innovation and creativity. They stress that collaborative efforts between the government, industry stakeholders, and financial institutions are essential to support MSMEs, ensuring they receive the necessary resources and guidance to navigate the evolving economic landscape.