100 major mineral blocks to be auctioned in 2016-17: Narendra Singh Tomar

Notices for auction of 43 mines have already been issued

The Centre proposes to issue notices for auction of a total 100 major minerals during the current fiscal. Already notices for auction of 43 mines have been issued of which six have been auctioned in Chhattisgarh, Jharkhand and Orissa.

These states have mobilised Rs 18,146 crore, announced the Union Minister of Steel and Mines Narendra Singh Tomar. He was speaking to the Business Standard at the sidelines of Maritime India summit.

Of the 43 blocks, six limestone blocks in Andhra Pradesh, Chhattisgarh (five blocks comprising four limestone and one gold), Gujarat ( five limestone blocks), Jharkhand (two limestone, one gold), Karnataka (14 iron ore blocks), Maharashtra ( four blocks, one each of bauxite, iron ore, limestone and tungsten), Odisha (one iron ore, two limestone) and Rajasthan (three limestone blocks).

"The government’s move to auction the mines has helped states to generate more revenue than they received royalty on mineral," Tomar said.  During the second phase another 43 blocks will be auctioned. These blocks have been identified by seven state governments for auction under the Mines & Minerals Development & Regulation (Amendment) Act, 2015.

He however, declined to provide estimates of revenues to be mobilised by states through auction during the successive auctions.

On the implementation of District Mineral Fund, Tomar said of the 11 mineral states so far eight states have already formed while three states are in the midst of its establishment. "During a year the District Mineral Fund is expected to have a corpus of Rs 6,000 crore. It will be mainly used for the development of mining affected areas and residents," he informed.

Tomar said the government’s move to bring in safeguards, impose anti-dumping duty and minimum import price have helped effectively tackle the dumping issue. "The implementation of these measures are being periodically reviewed and the decision especially on the extension of minimum import duty will be taken thereafter," he noted.