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Bhubaneswar, May 20: With possible opening of new iron ore mines in the near future, ore output in Orissa is likely to touch around 100 million tonne this financial year, a top government official told reporters on the sidelines of ‘Mining in Orissa’ event organised by Assocham here Friday.
The seminar was inaugurated by Union minister of state for Steel & Mines, Vishnu Deo Sai and was attended by state minister for Steel and Mines Prafulla Kumar Malik. “Iron ore production this year in Orissa will touch 100 million tonne on the back of opening of new mines in the state,” Principal Secretary of Department of Steel and Mines, RK Sharma said. Earlier, reports pegged state’s iron ore output at around 80 million tonne during FY16.
As per the official, nine new mines will be put under auction going ahead. He also said there is a need to improve exploration activities for upgradation of mineral deposit. “Private exploration companies should come and setup office for exploration activities,” he added. Addressing the seminar, Union minister Vishnu Deo Sai emphasised on a comprehensive approach to realise the true potential of the mining sector. “However, mining in India is beset with uneconomical scale, limited mechanisation and automation. While the country has come a long way in terms of technology upgradation, there is still need for improvement,” he added. He also said the number of mines which reported mineral production (excluding minor minerals, petroleum (crude), natural gas and atomic minerals) in India was 3,318 in FY2015 as against 3,722 in the previous financial year. Of the 3,318 reporting mines, 173 mines were located in Orissa.
Speaking at the meet, Orissa Steel and Mines minister Prafulla Kumar Malik said the state is the first in the country to issue rules for District Mineral Foundation (DMF) –a body created to bring far reaching changes in India’s mining regulations, MMDR Act. “The new rules, however, raised some concerns as they have failed to define any role for the mining companies who are among the major stakeholders and will be significantly impacted by the operations of the new regulations,” he said. While decline in mineral production has been the general trend in the country, faster decline in the state warranted a closer look at the state specific issues affecting mineral production in the country, he added.
