Snapshot

Mining the future

The Mining industry in India that was valued at $ 41.7 bn in 2014-15, is estimated to reach $ 126 bn by 2025. The industry accounted for about 2.6% of the total gross value added (GVA) in 2015-16.

The total value of mineral production (excluding atomic & fuel minerals) during 2017-18 has been estimated at $ 16.6 bn, which shows an increase of about 13% over that of the previous year. During 2017-18, the estimated value for metallic minerals is $ 7.7 bn or 47.7% of the total value and non-metallic minerals including minor minerals is $ 8.8 bn or 53.3% of the total value.

100% FDI allowed in Mining and exploration of metal and non-metal ores under automatic route

100% FDI allowed in Mining and mineral separation of titanium bearing minerals and ores, its value addition and integrated activities under government route

For further details, please refer FDI Policy

  • 11%

    Coal producer share

  • 39.8%

    Petcoke imports growth

  • 127.2

    Mineral production index

  • 5.5%

    India's share in crude steel production

A

Second largest coal & steel producer in the world

B

Fourth largest iron ore producer in the world

C

Ninth largest bauxite reserves in the world

Industry Scenario

With barely 20% of reserves mined, India presents a major opportunity for investors.

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.

Growth Drivers

  • Cost advantage

    Cost advantage in steel and alumina production-conversion

  • Govt.’s focus on infrastructure & transportation

    Leading to opportunities for steel, zinc, and aluminum

  • Huge mineral exploration opportunity

    100 blocks identified by GSI for regional exploration

  • Noticeable surge in mineral production

    Major minerals production recorded 9% growth in 2015-16

     

  • Open

    Mines and Mineral Development and Regula…

    An Act to provide for the development and regulation of mine…

  • Open

    National Mineral Exploration policy, 201…

    The National Mineral Exploration policy document spells out…

  • Open

    National Mineral Exploration Trust (NMET…

    The Indian Government has created NMET to increase spending…

  • Open

    National Steel Policy

    The new Steel Policy enshrines the long term vision of the G…

Investible Projects

Investment Opportunities in Mining

  • Projects

    6

  • Opportunity

    $3.7 bn

  • Promoters

    4

  • District

    6

  • Private Projects

    1

  • Govt. Projects

    5

open

$1.8 bn

Gevra Open Cast Coal Mining Project

State (s) Chhattisgarh
open

$1.2 bn

Kusmunda Coal Mining Project

State (s) Chhattisgarh
open

$424.2 mn

Open Cast Coal Mining Project [Dudhichua]

State (s) Madhya Pradesh, Uttar Pradesh
open

$241.9 mn

Rampur-Batura Open Cast Mining Project

State (s) Madhya Pradesh

Major Investors

Data on Map

FAQ

Frequently
Asked Questions

  • What are the activities of ENVIS Centre, MINENVIS ?

    Maintains a database management system to cater to the requirements of various users/ 
    stakeholders of the mineral industry and regularly publishes Newsletters and Monographs.
     

  • Will ITC be available on steel, timber and sometimes cement which are used in the underground mines to provide a protective device for security purpose?

    Credit will not be available, if these goods are supplied for construction of an immovable property. 
    But if these are temporarily placed for protective purposes, credit will be available.

  • What are the Existing Legislative Provisions regarding safety, health and welfare of mine workers?

    Under the Constitution of India, safety, welfare and health of workers employed in mines are the concern of the Central Government (Entry 55- Union List- Article 246). The objective is regulated by the Mines Act, 1952 and the Rules and Regulations framed thereunder which are administered by the Directorate- General of Mines Safety (DGMS), under the Union Ministry of Labour and Employment.
    A list of the subordinate legislation under the Mines Act administered by DGMS are:
    1) Coal Mines Regulations, 1957. 
    2) Metalliferous Mines Regulations, 1961.
    3) Oil Mines Regulations, 1984. 
    4) Mines Rules, 1955. 
    5) Mines Vocational Training Rules, 1966. 
    6) Mines Rescue Rules, 1985. 
    7) Mines Creche Rules, 1966.  
     

  • Will the basic exemption limit from GST be applicable to the tiny and micro segment in mining?

    Yes, the basic exemption limit of $ 15,385 ($ 7693 in the case of special category States) is applicable to the tiny and micro segment even in mining. However, a person engaged in making taxable supply and having aggregate annual turnover (more than $ 15,385in any State other than the special category States) would be liable to obtain registration under GST. The return has to be filed on monthly basis by regular taxable persons and on quarterly basis by the taxable persons registered under the composition scheme. 

  • What is the GST rate for minerals and ores in Composition Scheme?

    In a case where the process amounts to manufacture, the rate of tax will be 1% (CGST) and 1% 
    (SGST/UTGST). In any other case, the rate will be 0.5% (CGST) and 0.5% (SGST/UTGST).

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