India is endowed with huge resources of many metallic and non-metallic minerals, and currently produces as many as 95 minerals. But India’s mineral production growth has stagnated since last five years.
Need for New Mineral Policy
- Low CAGR: The 5-year CAGR (from FY19 to FY24) of most of the major minerals (in quantity terms) is in single digits or declining.
- High Employment Potential Sector: Mining is a huge labor-intensive sector.
- 10% increase in mineral production, in value terms, could generate an additional 50,000 - 70,000 daily jobs.
- Import Reliance: India is 100% import dependent for certain critical minerals.
- Critical minerals are metallic or non-metallic elements like lithium, graphite, etc that are considered to have a role in a country’s economic or national security.
- To curb Other challenges: Bureaucratic hurdles, regulatory hurdles, and lack of infrastructure.
Recommendations of Report
- Comprehensive policy that spans entire value chain E.g.:
- Advanced geoscience techniques, sustainable extraction methods, Establishing robust processing facilities etc.
- International Collaboration with other countries.
- Enhancing of processing capacity.
- Involvement of private sector.
- Introduction of PLI, Promoting a circular economy through recycling.
Steps Taken to promote the mining sector
|
