New Delhi: State-owned manganese ore producer MOIL Limited has received an order from the Commissioner (Appeals), CGST & Central Excise, Bhopal, upholding an earlier tax demand related to royalties and other statutory levies paid on manganese ore consumed at its Balaghat ferro-manganese plant. The decision confirms a financial liability for the company, including service tax on royalty, District Mineral Foundation (DMF) contributions, and National Mineral Exploration Trust (NMET) charges.
Details of the Appellate Order
In a regulatory filing with stock exchanges on Friday, MOIL stated that the appellate authority upheld the Order-in-Original dated July 2, 2024. The order confirms the company’s obligation to pay a total demand of Rs 55.67 lakh, along with applicable interest and penalties under Sections 75, 77, and 78 of the CGST Act, 2017.
As of November 21, 2025, the total amount due stands at Rs 1.90 crore. MOIL had already made a pre-deposit of Rs 4.18 lakh while filing earlier appeals. The company is expected to review the order and determine further steps in accordance with applicable legal provisions.
Impact on Operations
While the upheld tax demand represents a financial obligation, MOIL emphasized that it remains committed to its ongoing operations at the Balaghat plant, continuing production and supply of ferro-manganese. The company’s management stated that it is in compliance with all statutory and regulatory requirements, and will ensure timely resolution of financial liabilities.
About MOIL
MOIL Limited is a public sector undertaking under the Ministry of Steel, Government of India, and the largest producer of manganese ore in the country. The company operates mines and plants across India, including ferro-manganese production units, and contributes significantly to India’s steel and alloy industries.
