National Mineral Policy

Minerals are valuable natural resources being finite and non-renewable. They constitute the vital raw materials for many basic industries and are a major resource for development. The country is not endowed with all the requisite mineral resources. It is, therefore, imperative to achieve the best use of available mineral resources through scientific methods of mining, beneficiation and economic utilisation. National Mineral Policy aims at achieving these objectives.The basic objectives of the mineral policy in respect of minerals are:

To explore for identification of mineral wealth in the land and in off-shore areas;

To develop mineral resources taking into account the national and strategic considerations and to ensure their adequate supply and best use keeping in view the present needs and future requirements;

To promote necessary linkages for smooth and uninterrupted development of the mineral industry to meet the needs of the country

To promote research and development in minerals;

To ensure establishment of appropriate educational and training facilities for human resources development to meet the manpower requirements of the mineral industry

To minimise adverse effects of mineral development on the forest, environment and ecology through appropriate protective measures; and

To ensure conduct of mining operations with due regard to safety and health of all concerned.

The Mines and Minerals (Regulation and Development) Act, 1957 lays down the legal frame-work for the regulation of mines and development of all minerals other than petroleum and natural gas. The Central Government have framed the Mineral Concession Rules 1960 for regulating grant of prospecting licences and mining leases in respect of all minerals other than atomic minerals and minor minerals. The State Governments have framed the rules in regard to minor minerals. The Central Government have also framed the Mineral Conservation and Development Rules, 1988 for conservation and systematic development of minerals. These are applicable to all minerals except coal, atomic minerals and minor minerals.The Geological Survey of India is the principal agency for geological mapping and regional mineral resources assessment of the country and its exclusive economic zone and shall be responsible for drawing up action oriented plans in close co-operation with all other agencies engaged in this task. The Department of Ocean Development and its agencies are entrusted with the task of sea-bed exploration, exploitation, mining and processing.

Strategy to be adopted for Mineral Development include:

Mines Safety

Rehabilitation of Displaced Persons National Mineral Policy, 1993 provides induction of foreign technology and foreign participation in exploration and mining for high value and scarce minerals. The Policy encourages Foreign equity investment in joint ventures in mining promoted by Indian Companies.Foreign investment in equity would normally be limited to 50%, this limitation would not apply to captive mines of any mineral processing industry. Enhanced equity holding will also be considered on case to case basis. For detailed National Mineral Policy :- http://www.nic.in/mines/nmp.html