National Mineral Policy 2006 - Department of Mines

PrefaceThe National Mineral Policy, 1993 aimed at encouraging the flow of private investment andintroduction of state-of-the-art technology in exploration and mining. Although theliberalisation of the mineral sector is now over a decade old, the results have not beenencouraging. In the Mid-Term Appraisal of the Tenth Five-Year Plan, it was observed thatthe main factors responsible for this were procedural delays in the processing of applicationsfor mineral concessions and the absence of adequate infrastructure in the mining areas. To gointo the whole gamut of issues relating to the development of the mineral sector and suggestmeasures for improving the investment climate the Mid-Term Appraisal had proposed theestablishment of a High Level Committee. Accordingly, the Government of India, PlanningCommission, constituted a Committee on 14 September 2005.The task before the Committee proved challenging as there was divergence of views amongvarious stakeholders—mineral-rich states and states not well endowed with mineral reserves,manufacturing industries with captive mines and stand alone miners, exporters of minerals,and domestic industry based on the mineral. The recommendations were finalised at themeeting of the Committee held on 30 June 2006. Where it was not possible to reach anagreement among members, the recommendation was based on the majority view. Onedissenting note was subsequently received, which has been annexed as a part of the Report.It is our pleasure and privilege to thank all the members of the Committee for their valuablesuggestions and for sparing time for finalisation of this Report.We are also thankful to the officers and staff of the Mineral Unit of the Planning Commissionfor their contributions in the preparation of this Report. Thanks are particularly due toShri L. P. Sonkar, Adviser (Minerals) and convener of the Committee, Shri R. B. Tyagi,Consultant (Minerals), and Shri Sunil Barthwal, Director, Ministry of Mines for providingvital inputs and help in drafting the Report. We also acknowledge the contribution of MsRama Goyal who edited the Report meticulously. Thanks are also due to Ms NeelamKhanduri for rendering secretarial assistance.The Report was submitted to the Government on 19 July 2006 and is now being released tothe public for information.(A. K. D. Jadhav)Secretary, Ministry of MinesMember, High Level Committee(Anwarul Hoda)Member (Industry), Planning CommissionChairman, High Level CommitteeDated 22 December 2006i