State governments should avoid levying higher taxes on minerals since this makes end-products like steel and cement more expensive, Union Mines Minister G Kishan Reddy said Thursday. Addressing a press conference on the Indian mining sector, he said while states can levy higher taxes after a Supreme Court order allowing the same, it should be avoided due to the adverse impact on consumers.

Elaborating on the centre's stand on the issue, Mines Secretary V L Kantha Rao said, we have asked states to come up with a stable regime for taxing minerals so that companies have better visibility when starting operations. He also said the centre has requested a review of the apex court verdict.

Responding to a query on impact of sanctions proposed by US President Donald Trump, Rao played down the impact on Indian metal producers. "We are an exporter of aluminium and steel, are an importer of copper...We have a significant cost advantage," he said.