India is home to 1,531 operating mines and produces 95 minerals – 4 fuel-related minerals, 10 metallic minerals, 23 non-metallic minerals, 3 atomic minerals and 55 minor minerals. India is the 2nd largest crude steel producer in the world, generating an output of 106.5 MT in 2018, a growth of 3.7% Y-o-Y. Indian steel demand is set to grow by 7.1% in 2019 while globally, steel demand has been projected to grow by 1.3%. During 2017-18 Mining and Quarrying industry accounted for about 2.3 % of the GVA at current prices.
100% FDI allowed in the Steel and Mining sectors under automatic route
100% FDI allowed in Coal and Lignite mining under automatic route
For further details, please refer FDI Policy
Domestic steel production capacity by 2030
FDI equity inflows into the Metallurgical and mining (April 2000-March 2019)
FDI equity inflows into coal production (April 2000-March 2019)
India’s ranking in bauxite reserves (by size)
Second largest crude steel producer in the world
Fourth largest coal producer in the world
Fourth largest iron ore producer in the world
India has large reserves of Iron ore, Bauxite, Chromium, Manganese ore, Baryte, Rare earth and Mineral salts. India produces as many as 95 minerals, which includes 4 fuel, 10 metallic, 23 non-metallic, 3 atomic and 55 minor minerals (including building and other materials). In 2015-16, there were more than 2,101 reported mines excluding atomic and minor minerals, natural gas and petroleum (crude).
Out of 2,101 reported mines, 274 were located in Madhya Pradesh followed by Tamil Nadu (252), Gujarat (225), Jharkhand (211), Chhattisgarh (162), Odisha (157), Karnataka (146), Andhra Pradesh (135), Maharashtra (134), West Bengal (100). These 10 states together accounted for 85% of the total number of mines in the country in 2015-16. Among them, 558 mines belonged to coal and lignite, 668 to metallic minerals and 975 to non-metallic minerals.
The Metals and Mining sector in India is expected to witness a major reform in the next few years, owing to reforms such as Make in India Campaign, Smart Cities, Rural Electrification and a focus on building renewable energy projects under the National Electricity Policy.
ArcellorMittal SA has bid INR 48 bn to acquire Essar's 1200 MW power plant in Madhya Pradesh. It is also known as the Mahan power plant, and will help ArcelorMittal gain a strong foothold in the Indian market.
Vedanta Ltd to set up a 4.5 bn tonne steel production plant in Jharkhand at an investment of about $ 4 bn as part of its newly acquired Electrosteel Steels Ltd. The final production capacity of the plant is expected to be 7 bn tonnes.
Vedanta Resources Chairman Anil Agarwal announced the company’s plan to inject INR 15,000 crore to raise the alumina refinery capacity at Lanjigarh in Odisha
NLC India to invest INR 1.29 lakh crore to increase mining, power capacity
Adani Enterprises Ltd announced that it is ready to start work on the $ 16.5 bn Carmichael mine. The project is expected to commence production in FY 2020-21 with an output of 25 mn tonnes in the first phase.
JSW Steel proposed constructing a slurry pipeline project to transport iron ore and coal at competitive prices in Karnataka with an investment of $ 3.3 bn. JSW Steel is currently operating a 12-MMTPA integrated steel plant in the area.
Hindustan Zinc announced that it will set up its first Zinc Fumer Plant in Rajasthan by 2018 with an investment of $ 83.2 mn. This plant will extract metals from waste and will have an annual production capacity of 3,000 tonnes.
Mangal Credit and Fincorp announced plans of diversifying in iron ore mining by acquiring a mine near Goa. The 21 ha mine consists of iron ore reserve worth $ 223.1 mn.
Automotive growth driving demand for steel and aluminum
Expected to reach 300 MT by 2030
Provision of longer mining leases (20-30 years) and greater transparency in mine allocation
24th International Engineering and Technology…
India Surging Ahead - 2019
Setting up Business in India
As per the Mines and Minerals (Development & Regulation) Act (MMDR) Amendment Act 2015, the grant of Mining Leases (ML) and Prospecting License-cum-Mining Lease (PL-cum-ML) happens only through an auction process.
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No concessions can be granted without prior approval under Forest Conservation Act, 1980. After obtaining in principle consent from State Government and prior approval by Central Government as per the provision of Mines and Minerals (Development & Regulation) Act 1957.The applicant has to take necessary steps to obtain permission under Forest Conservation Act, 1980. After getting clearances, the grant of concession is done by State Government.
Mineral Resources Department, State Government is empowered to sanction Prospecting License/Mining Lease.
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1) After ensuring correctness of application, internal reports from different departments are sought:
a) Revenue Department.
b) Forest Department.
c) Gram Panchayat Report.
d) If applied area falls near by the restricted land as per provision of Mineral Concession Rule 1960 then report is sought from concerning State/Central authority.
2) After scrutiny of application it is forwarded to State Government for further action.
The application must be filed within prescribed format of Mineral Concession Rule 1960, available in GOI, Ministry of Mines website link. Entries must be complete in all respect and should be supported with documentary evidences as per provisions of rule 9, 22 of Mineral Concession Rule 1960. In absence of all documents, disposal of application may be delayed. Further, incomplete applications are liable to be cancelled.
By: Invest India
By: Invest India
By: Invest India
By: Invest India
By: Sanchi Padia
By: Preet Deep Singh
By: Anusha Agarwal
