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Web Exclusive | August 2013

Mining sector set to contribute 14% to GDP of Jharkhand

In Jharkhand, the Mining Sector (including metallic and non metallic minerals, but excluding mineral oil) contributed 9.1 percent to state GDP of Jharkhand in 2009 and this may rise to 14.1 percent of state GDP in 2025.

The government said this in a strategic plan document “Unlocking the potential of the Indian Mineral Sector”.

The document identified that the mining sector has the potential to contribute around Rs 945 to Rs 1,125 thousand crore to the GDP and create 13 to 15 million jobs through direct and indirect contribution by 2025.

The Strategy Paper also expects Royalty collection in Jharkhand to increase from Rs 1,800 crore in 2009 to about Rs 8,800 crore in 2025.

The Strategy Paper has been prepared taking into account the vision emanating from the National Mineral Policy, 2008.

Mineral being a major resource for development, the extraction and management of minerals has to be integrated into the overall strategy of the country’s economic development.

The exploitation of minerals is guided by long term national goals and perspectives. In order to achieve this , the Strategy Paper has identified six key priorities which include enhancing resource and reserve base through exploration and international acquisition; reducing permit delays; putting in place core enablers (infrastructure, human capital, technology) etc.

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