India’s mining industry gets a boost from the government

India’s mining industry took a long stride this year supported by government policies in critical minerals mining as it intends to boost domestic production. The government also wants to reduce dependency on imports and help in realising the renewable energy targets. The government also has been encouraging companies for overseas exploration and production of critical minerals and rare earth elements.

This year, the government has launched the auction of offshore critical minerals, amendments in the Mineral Conservation and Development Rules 2024 and Mineral (Auction) Amendment Rules, 2024. Since 2015, the government has so far successfully auctioned 441 blocks of critical minerals across various states. In this current fiscal year, 87 blocks of critical minerals were successfully auctioned, as per the Mines Ministry data.

The Indian mining sector in 2024 has demonstrated positive growth and a focus on key areas like self-reliance, technology, and sustainability. While challenges remain, the government’s policy support and the industry’s focus on modernization are expected to drive further growth in the coming years,” said Rajib Maitra, Partner, Deloitte India.