Question : Production Caps on Mining of Iron and Manganese

(a) the factors taken into consideration before introducing the production caps that have been implemented on the mining of iron and manganese;
(b) whether the policy considers the demand for the minerals with production caps and if so, the details thereof;
(c) whether any studies were undertaken to ensure that there are no adverse impact on industries and economies dependent on the production of minerals and if so, the details thereof; and
(d) the details of the strategies put in place to check the illegal mining of the minerals which have a production cap placed on them and all the instances when they have been useful in curbing illegal mining?

Answer given by the minister

THE MINISTER OF STATE FOR MINES (SHRI HARIBHAI PARTHIBHAI CHAUDHARY)

(a) to (c): The Indian Bureau of Mines (a sub-ordinate office of the Ministry of Mines) fixes a maximum production target for each mine (excluding atomic, fuel & minor minerals) while approving the Mining Plan, as per the Mineral Conservation and Development Rules, 2017. This is based on miner’s request, reserve available in the approved mining area, economic and scientific capability of the miners and the conditions imposed under the environmental as well as forest clearance.

Mineral production as per mining plan and / or Mine Development and Production Agreement is a commercial decision of the mining concession holders and is largely based on domestic and international demand for minerals at prevailing price.

(d): As per section 23C of the Mines and Minerals (Development and Regulation) Act, 1957, State Governments have been empowered to make rules for preventing illegal mining, transportation and storage of minerals and for the purposes connected therewith.

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