Economic War: NMDC halts ore shipments as Maoists damage tracks

Raipur: Maoists derailed iron ore shipments by NMDC Ltd on Monday after blowing up railway tracks 25 km away from the company's mines located in the Dantewada district of the central Indian state of Chattisgarh.  The National Mineral Development Corporation (NMDC) is India's largest iron ore producer and exporter in the public sector.

'The iron ore transportation has been stopped since Monday early hours as the tracks have been damaged by Maoists, some 25 km away from Bailadila hills in Dantewada district, where NMDC has five mines,' a senior company official informed agencies.

According to reports, an engine pulling six goods wagons carrying iron ore derailed at Kaimloor in the Maoist-affected Dantewada district. Railway authorities are said to be hard at work resuming services.

According to official sources, NMDC has the capacity to dispatch atleast 56,000 tonnes a day under normal circumstances. Lately, its shipments have been hit hard as Maoists wage an economic war in the area calling for shutdowns.

Fear of losses has also led to the Indian Railways withdrawing rakes from services. It is being given to understand that the company reduced its daily dispatches by nearly 30 per cent in the period 2-21 December as the Maoists imposed one of the longest shutdowns in the area in recent years.

Maoists have been bombing railway tracks, damaging government property and killing policemen, politicians and local people who they accuse of being government informers.

It is estimated they have been responsible for hundreds of deaths in the region apart from paralysing all economic development.