Mining Sector Could Contribute $500 Billion To Indian Economy In Next 20 Years: Fadnavis

The mining sector could contribute USD half a trillion to the Indian economy over the next 20 years and create three crore jobs, Maharashtra Chief Minister Devendra Fadnavis said on Friday.

He was addressing a gathering at the 36th National Convention of Mining Engineers and National Seminar on 'Mining for Viksit Bharat @2047', which has been organised by the Nagpur Local Centre of The Institution of Engineers (India).

Vidarbha has the potential to emerge as a major engine of India's mining-led economic growth and contribute significantly to the vision of Viksit Bharat 2047, the CM added.

"The entire world is looking at energy security. But, at the same time, energy security is now coupled with mineral security. Without mineral security, energy security is not possible anymore," he said.

The emerging world talks about semiconductors, AI and quantum, and these three things, which are going to shape the new world order, are deeply dependent on power and minerals, Fadnavis pointed out.

Looking at the fragmented supply chain across the world today, it is imperative that every country creates a very vibrant mining ecosystem and achieve security in the minerals sector, he asserted.

The country is progressing due to several missions being led by the Union government, and the mission of critical minerals and rare earths is reshaping the country's mining industry, the CM said.

While the country's mining industry is centred predominantly around coal, limestone and iron ore, which are flourishing, India, as a developing nation, also requires steel, cement and energy, Fadnavis said.

The CM said lithium, cobalt, copper, several other critical minerals and rare earths are also now required to steer the country's economy, he said.

"If we look at the world order, the only thing that is creating disruption in the world order is to have mineral resources in possession. Today most of the wars across the world are only around minerals and mineral security. Amidst that, I think India's new mission is creating opportunities which we have never seen," he said.

"This mining industry is going to contribute USD half a trillion dollar in the next 20 years. And it will add three crore jobs to our economy, which is a very conservative estimate," he said.

Technology has changed the entire space of mining, and with AI, exploration has become conveniently easy and also sustainable, he said.

Speaking about the importance of coal gasification, the CM said four of the first eight coal-gasification projects under the new national mission have been awarded in Vidarbha.

Highlighting Vidarbha's vast mineral wealth, particularly the iron ore reserves of Gadchiroli, Fadnavis said investments of around ₹5 lakh crore and steel making capacity of nearly 50 MTPA are being developed in the region.

"Gadchiroli, along with Chandrapur, Bhandara, Nagpur, Gondia and Yavatmal, will develop into a new steel ecosystem. Green steel, clean technologies and improved logistics connectivity will create large scale employment and economic opportunities in the region, Maharashtra and the country," the CM said.

Meanwhile, a release by the organisers said Union Minister for Coal and Mines G Kishan Reddy, who could not attend the function physically, sent a message stating that securing critical minerals such as lithium and rare earth elements are vital for India's green energy transition and resource security.

Reddy stressed sustainable, technology driven mining, progressive mine closure and high safety standards, and called for greater collaboration among academia, industry and policymakers.

"Automation, AI and advanced exploration technologies will help unlock India's mineral wealth safely and efficiently," Reddy said.