If a total takeover to SDL - I would like to see atleast 60c+ beyond potential. Indias population is growing faster than in China - no birth control in India and India can not cover demand from onw resources. + of course demand from China + South Korea.
Now - India, which is the world's third largest iron ore exporter ... Export duty on iron ore hiked to 30 percent !!!
New Delhi: The government proposed to levy 20 per cent ad valorem duty on all types of outbound shipment of the key steel making raw material.
"Iron ore attracts an export duty of 15 per cent in the case of lumps and 5 per cent in the case of fines. This is a natural resource which needs to be conserved. I propose to enhance the rate of export duty for all types of iron ore and unify it at 20 per cent ad valorem," Mukherjee said in his Budget 2011-12 speech.
Mukherjee, however, has also withdrawn export duty on iron ore pellets in order to encourage exports only after july value-addition.
Overall, India, which is the world's third largest iron ore exporter, produced 218 MT of iron ore in 2009-10 and exported almost half of it.
SDL Price at posting:
43.0¢ Sentiment: LT Buy Disclosure: Held
