States Must Accelerate Mineral Resource Development to Drive Economic Growth: Experts
Experts have emphasized the urgent need for Indian states to operationalise their mineral resources more effectively to unlock economic growth, boost industrial development, and strengthen the country’s position in the global supply chain of critical minerals.
Speaking at a recent industry forum, policymakers and mining experts highlighted that while India possesses significant reserves of minerals such as iron ore, bauxite, coal, and rare earth elements, a large portion remains underutilized due to regulatory delays, land acquisition challenges, and infrastructure gaps.
Industry leaders noted that faster approvals, streamlined policies, and improved coordination between central and state authorities are essential to bring idle mineral blocks into production. They stressed that timely operationalisation could significantly enhance revenue generation for states and create large-scale employment opportunities.
The discussion also focused on the growing importance of critical minerals such as lithium, cobalt, and nickel, which are crucial for clean energy technologies, electric vehicles, and advanced manufacturing. Experts pointed out that states must actively participate in identifying, auctioning, and developing such resources to meet future demand.
In addition, there were calls for greater private sector participation and investment in mining projects. Experts suggested that transparent auction mechanisms, stable policy frameworks, and investor-friendly regulations would be key to attracting both domestic and foreign capital.
Infrastructure development emerged as another critical factor. Efficient transportation networks, including rail and port connectivity, are necessary to ensure smooth movement of minerals from mines to processing units and export hubs.
Environmental sustainability and community engagement were also highlighted as important considerations. Experts stressed that mining activities must be carried out responsibly, with proper rehabilitation measures and benefits for local communities to ensure long-term viability.
State governments were urged to adopt modern technologies such as digital monitoring, automation, and data analytics to improve efficiency and transparency in mining operations. This would not only enhance productivity but also reduce illegal mining and revenue leakage.
With global demand for minerals rising amid the energy transition and industrial expansion, experts believe that proactive steps by states can transform India into a major player in the global mining landscape while driving inclusive economic growth domestically.