73 FDI Proposals Approved in Mining Sector

73 FDI Proposals Approved in Mining Sector

Assam Tribune, SHILLONG,

19th November 2005

With the country's liberalised mining policy, 73 proposals of Foreign Direct Investment (FDI) have been approved by the Foreign Investment Promotion Board (FIPB) with an expected inflow of over Rs. 4,044 crore in the field of mineral prospection, exploration, processing and mining.

Joint secretary of the Union Mines Ministry Ajita Bajpai Pande said here that the mining sector has attracted private investment in exploration of base metals, noble metals and gemstones.

More than 193 'reconnaissance' permits covering an area of about 2.7 million sq km were granted so far in various parts of the country, she said. Pande was addressing an investors meet and conference on 'Harnessing mineral potential for industrial development in the north-eastern region' today. She said India produced 67 major, 23 minor and a host of atomic minerals and the total value of the country's mineral production during 2004-05 was more than Rs 75,000 crore or $ 17,200 million which accounted for 2.6 per cent of GDP.

With the North-east having 'proven deposits' of important minerals such as coal, hydrocarbons, limestone, dolomite, dimensional stones and graphite, she said the ministry had constituted a task force which evolved an action plan for 'identifying possibilities and thrust areas to facilitate systematic exploration and exploitation' of mineral resources in the region The ministry, Pande said, was in the process of formulating operational mechanism for funding of various project proposals received from the north eastern states in consulation with the Finance ministry and Planning Commission to provide direct assistance to those governments.