Industry divided on mineral auctioning; mines' development still a concern

The state exchequer is estimated to earn a total revenue of Rs 8 trillion from the auctioned mineral blocks over the lease period, including an estimated contribution of Rs 6 trillion through auction

As the Union government looks for suggestions from the domestic mining industry for enhancement of private investment in the sector, industry stakeholders remain divided on the auctioning of minerals under the Amendment in the MMDR Act 1957.

Finance Minister Nirmala Sitharaman had in May asked for more private investment in the mining sector under the Atmanirbhar Bharat scheme and industry stakeholders are to submit their suggestions to the government by September 3.

While a section of the industry continues to lobby for mineral auctioning, industry bodies such as Federation of Indian Mineral Industries (FIMI) want more private involvement in exploration,