PlanComm meet to discuss mining issues

Govt's provisional data reveals that mining and quarrying output contracted by 2.8% for first quarter (April-June) this year

Planning Commission has convened a high level meeting of concerned ministries on Thursday to discuss issues related to mining, including the ban on such activities in some states, to boost output.

A high-level meeting of the ministries concerned is scheduled on November 7, for discussing the issues related to mining sector, a source said.

Planning Minister Rajeev Shukla had earlier said a meeting of secretaries of concerned ministries has been called to deliberate the issues related to mining sector particularly the ban on such activities in some states.

According to the minister, representatives from the Department of Land Resources under the Ministry of Rural Development, and those from ministries of environment & forest, and mines will participate in the meeting.

According to government's latest industrial production data, mining output contracted by 3.4% in April-August period compared to a dip of 1.8% in the same period in 2012-13.

In August, the mining production contracted by 0.2% compared to a decline of 0.3% in the same month of last year.

The decline in production is mainly attributed to the ban on mining in the mineral-rich states of Karnataka and Goa.

The ban in Karnataka was partially lifted in April this year, while Goa miners hope the ban to be lifted soon.

According to national accounts data, the mining and quarrying output is projected to come down to Rs 25,568 crore at factor cost (2004-05 prices) in value terms this fiscal from Rs 26,302 crore in 2012-13.

The government's provisional data reveals that the mining and quarrying output contracted by 2.8% for first quarter (April-June) this year compared to a growth in production by 0.4 in the same period last year.

Following the ban in iron ore mining in Karnataka in July 2011 and in Goa in September last year, India has gradually lost its place in the exports market.