Mining industry is one of the important industrial activities in India contributing significantly to the economic development and growth of the nation. In fact, with its rich and varied mineral resources India has a long history of mining. It is endowed with variety of mineral resources comprising fossil fuels, atomic minerals, ferrous and non-ferrous ores, fertilizers, refractory and many other industrial minerals. In pre-independence period, mineral production was only 0.56% of GDP. Most of the mines were small and manually operated. Average annual mineral production was of the order of US $ 58 million. As of now, India produces as many as 86 minerals which includes 4 fuels, 10 metallic, 50 non-metallic and 22 minor minerals (building and road materials), besides atomic minerals. The value of minerals was over US $ 11.32 billion during 2001-02. Thus, the contribution of mining to GDP increased from 0.56% and ranging between 2 and 3.0%. In India from legal point of view entire non-coal mines are considered as metalliferous mines. There were about 2500 working mines in the country in metalliferous sector during 2001-02. Indian metalliferous mining industry is dominated by a large number of small mines, which are essentially labour intensive with little or no mechanization. In contrast there are also quite a good number of technology islands of large capacity highly mechanized mines operating in the country. In 1991, India initiated a wide-ranging programme of economic reforms. In tune with this, a new era was ushered in when the new National Mineral Policy was announced in March 1993 and the mining sector was open for private initiative and investment. Presently, Indian mining is on the threshold of major structural reforms to attract foreign participation both technologically as well as financially. |