Mining reform plan hits state pushback

Revenue loss fears rise; high upfront fees may aid large steel firms

- Dipali Banka & Abhishek Law

Two of India's major mineral-producing states have opposed an overhaul of the country's iron ore auction rules out of fear of revenue loss, in yet another blow to an ambitious plan to boost production and cool prices.

Resistance from states and steelmakers has stalled the process, and a mines ministry committee set up to shepherd The reform has not met in more than two months, three people aware of the matter said.