Final Cover Annual Report 2018-19 - Mines

Ministry of Mines/Annual Report 2018-19Indian Bureau of Mines.(g) Metallurgical grade silicon.Attached Office / SubordinateOffice:1.4 GeologicalSurveyofIndia(Headquarters at Kolkata) is an attachedoffice and Indian Bureau of Mines(Headquarters at Nagpur) is a subordinateoffice of the Ministry.Parliamentary Consultative Committee Meeting held on21st January, 2019 at Gujaratdevelopment of minerals within theterritory of India, including mines andminerals underlying the ocean withinthe territorial waters or the continentalshelf, or the exclusive economic zoneand other maritime zones of India asmay be specified, from time to time byor under any law made by Parliament.(b) Regulation of mines and developmentof minerals other than coal, lignite andsand for stowing and any other mineraldeclared as prescribed substances forthe purpose of the Atomic Energy Act,1962 (33 of 1962) under the control ofthe Union as declared by law, includingquestions concerning regulation anddevelopment of minerals in variousStates and the matters connectedtherewith or incidental thereto.(c) All other metals and minerals notspecifically allotted to any otherMinistry/Department,suchasaluminium, zinc, copper, gold , diamonds,lead and nickel.(d) Planning, development and control ofand assistance to all industries dealtwith by the Ministry.(e) Administration and management ofGeological Survey of India.(f) Administration and management of4Public Sector Undertakings1.5 There are three Public SectorUndertakings under the Ministry of Mines,namely:-National Workshop on DMF/PMKKKY held on 18th January,2019 at New Delhi National Aluminium Company Limited(NALCO), BhubaneswarHindustan Copper Limited (HCL),KolkataMineral Exploration CorporationLimited (MECL), NagpurAutonomous Bodies1.6 There are three Research Institutionswhich are Autonomous Bodies of thisMinistry: Jawaharlal Nehru Aluminium ResearchDevelopment and Design Centre(JNARDDC), Nagpur;

Ministry of Mines: An Overview National Institute of Rock Mechanics(NIRM), Bengaluru, and; National Institute of Miners’ Health(NIMH), Nagpur.Organisational Structure1.7 The Ministry of Mines was headedby Shri Narendra Singh Tomar as Ministerof Mines and Shri Haribhai ParthibhaiChaudhary as Minister of State during theperiod of the report.1.8 The Secretariat of Ministry of Minesis headed by the Secretary assisted byone Additional Secretary, three JointSecretaries, one Joint Secretary & FinancialAdviser (common for Ministry of Coal, andMinistry of Mines), one Economic Adviserand eight Directors / Deputy Secretaries;one Director, one Deputy Director andone Assistant Director of IES. Sanctionedstrength and present incumbency ofofficers/officials in the Ministry of Minesis given at Table 1.1. Organisationalstructure of the Ministry of Mines is shownin Annexure 1.1. (Page No. 185).Automatic Water Sprinklers on RoadContribution to GDP1.9 The provisional estimates of GrossValue Added (at 2011-12 prices) accruedfrom mining and quarrying sector for2018-19 is at 370,564 crore. Similarly,the provisional estimates of GVA (atcurrent prices) for 2018-19 is at 410,151crore. The mining and quarrying sector’scontribution (at current price) to GVAaccounted for about 2.38% for the year2018-19.Table 1.1Information in r/o Secretariat Proper Employees as on 31st March, 2019GroupSanctionedStrengthTotal Numberof presentincumbents(Includinggeneral)Number of SC/ST/OBC/Minority Womenout of present incumbentsVH/HH/OHout of 0109---Non- 01Total2151553013180528 01-02Group-B5

Ministry of Mines/Annual Report 2018-191.10 Major Highlights /Achievements of Ministry ofMines. Shri Anil Mukim joined the Ministry ofMines as OSD on 15th March, 2018and assumed charge of Secretary on1st April, 2018 consequent to thesuperannuation of Shri Arun Kumar. The Ministry of Mines organized the3rd National Conclave on Mines &Minerals on 20th March, 2018 at NewDelhi. A meeting between His ExcellencyAziz Rabbah, Minister of Energy,Mines and Sustainable Developmentof Kingdom of Morocco, and Hon’bleUnion Minister of Mines was heldon 11th April 2018 during whichMoU between India and Morocco oncooperation in the field of mining &minerals sector was signed.Officers of the Ministry who werenominated as nodal officers of differentDistricts in country for the GramSwaraj Abhiyan visited their respectivedistricts for ensuring 100% saturation coverage of the seven flagshipprogrammes of the Government ofIndia. Further, all senior officers ofthe Ministry participated in the CivilServices Day function held on 20th21st April, 2018.Hon’ble President of India conferredthe National Geoscience Awards forthe year 2017 at Vigyan Bhawan, NewDelhi on 16th May, 2018.The Ministry of Mines organized the4th National Conclave on Mines &Minerals on 13th July 2018 at Indore,Madhya Pradesh. Hon’ble UnionMinister of Mines, Hon’ble ChiefMinister of Madhya Pradesh, Hon’bleUnion Minister of States for Mines,Hon’ble State Mining Ministers,officials of Central Ministries,officials of the State Government,CEO’s of mining industries, industryassociations, academic institutionsand others participated in the conclaveand held meaningful discussions onvarious issues & opportunities in themining sector to bring about highergrowth and facilitate ‘Ease of DoingBusiness’.National Workshop on DMF/PMKKKY held on 18th January, 2019 at New Delhi6

Ministry of Mines: An Overview Two Assistant Secretaries of IAS 2016Batch, Ms. Bandana Pokhriyal (WestBengal) and Shri Gopi B. (Telangana)joined the Ministry of Mines on 2ndJuly, 2018 for a period of 3 months.A meeting between Sudanesedelegation led by H. E. Dr. AwadAhmed Mohammed Elgaz, Assistantto the President of the Republic of theSudan and Shri Narendra Singh Tomar,Hon’ble Union Minister of Mines washeld on 8th August 2018.Secretary (Mines) along with seniorofficers of the Ministry & headsof CPSUs appeared before theParliamentary Standing Committee onCoal and Steel on 3rd October, 2018for examination of the implementationof District Mineral Foundation (DMF),Pradhan Mantri Khanij Kshetra KalyanYojana (PMKKKY) and CorporateSocial Responsibility by the PSUsunder the Ministry of Mines.Secretary (Mines) led an Indiandelegation to attend Expo-Mina Peru2018, the largest mining event in Perufrom 12th to 14th September, 2018.A meeting was convened by Hon’bleMinister of Mines Shri NarendraSingh Tomar with senior officers ofthe Ministry and representatives ofNALCO, MECL and HCL on 19thSeptember, 2018 to review theRoadmap / Action Plan of CPSEs tobe presented before the Hon’blePrime Minister as follow up of therecommendations emerging fromCPSE Conclave held on 9th April,2018.Swachhata Pakhwada was organizedby the Ministry from 16th October,2018 to 31st October, 2018.An Indian delegation led by Shri Anil Kumar Nayak, Joint Secretary(Mines) participated in the “AnnualInternational Mining and ResourcesConference (IMARC-2018)” held atMelbourne, Australia during 29thOctober to 1st November, 2018.A National Level Workshop on DistrictMineral Foundation (DMF)/ PradhanMantri Khanij Kshetra Kalyan Yojana(PMKKKY) was organized by Ministryof Mines on 18th January, 2019.The meeting of the ConsultativeCommittee of Ministry of Mines washeld on 21st to 22nd January, 2019under the chairmanship of Hon’bleMinister of Mines, Shri NarendraSingh Tomar at Statue of Unity,Kevadiya Colony, District Narmada,Gujarat to review the performance ofNational Aluminium Company Limited(NALCO).Meeting of Standing Committee onCoal and Steel was held on 2.1.2019to review the “Development of Leasedout Iron Ore Mines and optimumCapacity utilization” in which thechallenges faced by iron ore industrywere discussed.The Union Cabinet approved theNational Mineral Policy 2019 (NMP2019) on 28th February, 2019.Ministry of Mines coordinated theparticipation of the Government ofIndia in Mining INDABA -2019 thelargest mining event of the Africancontinent, held at Cape Town, SouthAfrica during 4th to 7th February,2019.The 11th meeting of the ExecutiveCommittee (EC) of National MineralExploration Trust (NMET) was heldon 7th February, 2019 and approved9 mineral exploration projects7

Ministry of Mines/Annual Report 2018-19amounting 1,844.42 Lakh.The 58th Meeting of the CentralGeologicalProgrammingBoard(CGPB) was held on 15th February,2019 at New Delhi wherein the annualprogram of GSI for ensuing FS 201920 was finalized.Secretary (Mines) led an Indiandelegationtoparticipatein‘Prospectors & Developers Association of Canada (PDAC-2019) held during3rd to 6th, March, 2019 at Toronto,Canada.During the year 2018, 3 Coordinationcum-Empowered Committee (CCEC)meetings were held on 8th March,2018 at New Delhi, 12th July, 2018at Indore and 12th October, 2018 atAhmedabad.Railway Siding in mining area, Odisha8

Minerals and Metals in the Country2Minerals and Metalsin the Country9

Ministry of Mines/Annual Report 2018-19Minerals and Metals in the Country National Mineral ScenarioPage -11 Index of Mineral ProductionPage -11 Mineral ProductionPage -11 Gross Value Added From Mining & Quarrying SectorPage -12 MiningPage - 12 Mineral ProductionPage -13 Self-reliance in Minerals and Mineral Based ProductsPage - 15 Production trendsPage - 16 State-wise Mineral ScenarioPage - 1710

Minerals and Metals in the CountryNational Mineral Scenario2.1 The country is endowed withhuge resources of many metallic andnon-metallic minerals. Mining sectoris an important segment of the Indianeconomy. Since independence, there hasbeen a pronounced growth in the mineralproduction both in terms of quantityand value. India produces as many as 95minerals, which includes 4 fuel, 10 metallic,23 non-metallic, 3 atomic and 55 minorminerals (including building stones andother materials).Safety Zone Plantation between lease boundaries of 3 ironore mines in OdishaIndex of Mineral Production2.2 Ministry of Statistics and ProgrammeImplementation has shifted the base yearof index of mineral production from 200405 to 2011-12. Based on the overall trendso far the index of mineral production(base 2011-12 100) for the year 2018-19is estimated to be 108.1 as compared to104.9 of previous year showing a positivegrowth of 3%. The trend of index of mineralproduction and trend of value of mineralproduction is depicted in Figure 2.1 andFigure 2.2 respectively. The value ofminerals produced by groups for the lastfive years is given in Figure 2.3Systematic mining benches in an Iron ore mine in DistrictSundargarh, OdishaMineral Production2.3 The total value of mineral production(excluding atomic & fuel minerals) during2018-19 has been estimated at 1,24,020crore, which shows an increase of about10.11% over that of the previous year.During 2018-19, estimated value formetallic minerals is 61,009 crore or49.19% of the total value and non-metallicminerals including minor minerals is 63,011 crore or 50.81% of the totalvalue. Information on production and valueof minerals from 2014-15 to 2018-19 isgiven in Annexure 2.1. (Page No. 186) Thedetails of export and import of mineralsduring the period 2013-14 to 2017-18 isgiven in Annexure 2.2 (Page No. 187) andAnnexure 2.3 (Page No. 188) respectively.Figure 2.1Index of Mineral Production(Base 2011-12 100)11

Ministry of Mines/Annual Report 2018-19Figure 2.2Trends in Value of Mineral Exports &ImportsFigure 2.3Value of Minerals Production (By groups)(Excluding atomic & fuel minerals)Price TrendMining2.4 The Office of the Economic Advisor,Ministry of Commerce and Industry hasshifted the base year from 2004-05 to2011-12. The WPI for minerals (base2011-12 100) stood at 139.3 in February2019 and the corresponding index was121.6 for February 2018.2.7 Indianminingindustryischaracterized by a large number of smalloperational mines. The number of mineswhich reported mineral production(excluding atomic, fuel and minor minerals)in India was 1405 in 2018-19 as against1430 in the previous year. Out of 1405reporting mines, most of the mines werereported in Madhya Pradesh followed byGujarat, Karnataka, Odisha, Andhra Pradesh,Tamil Nadu, Chhattisgarh, Rajasthan, Goa,Maharashtra and Jharkhand.2.5 The minerals included in thewholesale price index are bauxite, chromite,iron ore, copper conc., lead conc., garnet,zinc conc, manganese ore, limestone,phosphorite and sillamanite. The wholesaleprice index for metallic minerals was 126.2in February 2019 as compared to 106.7 inFebruary 2018 and that of other mineralswas 185 in February 2019 as compared to173.6 in February 2018.Gross Value Added From Mining& Quarrying Sector2.6 The provisional estimates of GrossValue Added (at 2011-12 prices) accruedfrom mining and quarrying sector for2018-19 is at 370,564 crore. Similarly,the provisional estimates of GVA (atcurrent prices) for 2018-19 is at 410,151crore. The mining and quarrying sector’scontribution (at current price) to GVAaccounted for about 2.38% for the year2018-19.12The numbers of reporting mines are givenin Table 2.1. Area-wise distribution ofMining Leases all over India pertainingto all minerals excluding fuel, atomic andminor minerals is given in Table 2.2.Table 2.1Number of Reporting MinesSector2016- 2017- 20181718(P) 19(E)All MetallicMinerals931792780*Excluding atomic, fuel and minor minerals.

Minerals and Metals in the CountryTable 2.2Area Wise Distribution of Mining Lease* Ason 31/03/2017 (P) (All India)Frequency Number PercentageGroup (Areaofof Totalin Hect.)MiningLeasesLeasesArea inHects.Percentageof TotalArea100All Groups4,3821003,66,010.880 to 102,0355715,565.44410 to 20508127,485.70220 to 506481521,318.33650 to 1005331240,182.4311100 to 200252635,538.429200 to 500224572,181.9020Above 50018241,80,964.5249* Excluding fuel, atomic & minor minerals2.8 The number of underground minesin operation mineral-wise (excluding fuel,atomic and minor minerals) is given inTable 2.3.Table 2.3Number of Underground Mines 2016-17 @(By Principal alApatite-11Chromite6-6Copper ore5-5Gold415Lead & Zinc8-8Manganese ore9716Rock Salt011TOTAL321042@ Excluding fuel, atomic & minor minerals‘A’ Mechanized Mines: 150 labour in all or 75 labour inworkings below ground.‘B’ Other than ‘A’Mineral production2.9 During 2018-19, Mineral productionwas reported from 32 States/UnionTerritories (actual reporting of MCDR from22 states and estimation of minor mineralsfor all 32 States/Union Territories) of whichthe bulk of value of mineral production(excluding fuel and atomic minerals) ofabout 90.78% was confined to 10 States.Odisha is in leading position, in terms ofestimated value of mineral production inthe country and had the share of 23.66%in the national output. Next in order wasRajasthan with a share of 17.27% followedby Andhra Pradesh (8.62%), Chhattisgarh(8.49%), Karnataka (8.37%), Telangana(6.73%), Gujarat (5.20%) in the total valueof mineral production. The contributionof States/Regions in the value of mineralproduction during 2018-19 estimated ispictorially shown in Figure 2. 4.Figure 2.4Share of States in Value of MineralProduction 2018-19 (Estimated)(Excluding Atomic & Fuel Minerals)2.10 State-wise analysis revealed thatduring 2018-19, the value of mineralproduction (excluding fuel & atomicminerals) has shown a mixed trend ascompared to that in the previous year.The states which have indicated majorincrease in the value of mineral productionare Odisha (45.41%), Jharkhand (21.67%),Karnataka (9.23%), Madhya Pradesh13

Ministry of Mines/Annual Report 2018-19(8.96%), Assam (8.48%), Tamil Nadu(7.38%) etc. However, some of the principalmineral producing states recordeddecrease in value of mineral production(excluding fuel & atomic minerals) andthose include Goa (60.90%) and Jammu &Kashmir (2.66%).2.11 The all India Reserves and Resourcesof various minerals as on 01.04.2005, asper UNFC System is given in Annexure 2.4(Page No. 189).2.12 During 2017-18 (excluding atomic,fuel, and minor minerals), the privatesector emerged to play a dominant role inmineral production accounting for 67.33%or 39,482 crore in the total value. Smallmines, which were mostly in the privatesector, continued to be operated manuallyeither as proprietary or partnershipventures. The minerals which were whollymined / recovered by the public/jointsector in 2017-18 were copper ore andconcentrate, diamond, fluorite (graded),selenite, rock salt and Sulphur.2.13 India’s ranking in 2016 as comparedto world production was 3rd in steel(crude), 4th in chromite, iron ore, aluminium(primary) & zinc (slab), 5th in bauxite and6th in manganese ore and copper (refined).The statistics on indigenous and worldproduction of principal minerals and metalsare given in Table 2.4.Table 2.4Contribution and Rank of India in World Production of Principal Minerals & Metals, 2016ProductionCommodityUnit age)India’s rankin order ofquantum ofproductionMetallic MineralsBauxite'000 tonne2,89,00024,6648.535thChromite'000 tonne34,8003,72710.714thIron oreMillion tonne3,3051925.814thManganese ore'000 tonne51,2002,3934.676thMagnesite'000 tonne29,8002991.0010thApatite & rock phosphate'000 tonne2,76,0001,1810.4317thAluminium (Primary)'000 tonne58,8002,8964.924thCopper (refined)'000 tonne23,4007873.366thSteel (crude/liquid)Million tonne1,62397.446.003rdLead (refined)'000 tonne11,3001421.2514thZinc (slab)'000 tonne13,8006724.874thIndustrial MineralsMetalsSource: World mineral production data compiled from World Mineral Production, 2012-2016; British Geological Survey.Note: (i) Data in respect of World Mineral Production is on calendar year basis; however the data on India’s production is basedon financial year.(ii) Due to non availability of production data of minor mineral, they have not been included in the Table.* Figures relate to 2016-17.14

Minerals and Metals in the CountrySelf-Reliance in Minerals &Mineral Based Products2.14 India continued to be wholly orlargely self-sufficient in minerals whichconstitute primary mineral raw materialsthat are supplied to industries, such as,thermal power generation, iron & steel,aluminium, cement, refractories, etc. Indiais, by and large, self sufficient in coal (withthe exception of very low ash coking coalrequired by the steel plants), lignite, bauxite,chromite, iron, limestone, etc. India isdeficient in kyanite, magnesite, sillimanite,rock phosphate, manganese ore, etc.which were imported to meet the demand.Despite high degree of self sufficiency, somequantities of various minerals/ores areimported due to economic considerationor requirement of specific grade to meetthe demand for either blending with locallyavailable mineral raw materials and/or formanufacturing special qualities of mineralbased products. To meet the increasingdemand of uncut diamonds, emerald andother precious & semi-precious stonesby the domestic Cutting and PolishingIndustry, India is dependent on importsof raw uncut stones for their value-addedre-exports. The degree of self-sufficiencyin respect of various principal mineralsand metals in 2016-17 is furnished inTable 2.5.Table 2.5Degree of Self-sufficiency in Principal Minerals & Metals, 2016-17(P)Sl.No.CommodityApparentDemand*(‘000 tonne)Supply/Domesticsupply(‘000 tonne)Order of selfsufficiency Bauxite2Chromite3Iron ore4Kyanite5Limestone6Magnesite7Manganese ore8Rock phosphate (including apatite)9SillimaniteMetals10Aluminium11Co

NMET National Mineral Exploration Trust NMI National Mineral Inventory NMP National Mineral Policy NPCIL Nuclear Power Corporation of India Limited NRSC National Remote Sensing Centre NSDC National Skill Development Corporation NSDI National Spatial Data Infrastructure OAMDR Offshore Areas Mineral (Development & Regulations) Act, 2012