India’s mineral output increases by 9.4% in August

The Dollar Business Bureau

India’s mineral production recorded a growth of 9.4% in the month of August this year compared to the same month last year. The total value of mineral production during the month was Rs.18,015 crore.

“The index of mineral production of mining and quarrying sector for August 2017 at 92.7, was 9.4% higher as compared to the level in the month of August 2016,” according to a statement issued by the Ministry on Mines on Monday.

“The total value of mineral production - excluding atomic and minor minerals - during August 2017 was Rs.18,015 crore,” it said.

The cumulative growth in the mineral production, during the period April-August of this fiscal, was 3.3% compared to same period a year ago.

In the overall production, contribution of coal was highest at 34%, valuing around Rs.6,158 crore. This was followed by petroleum (crude) with Rs.5,489 crore, natural gas (utilised) with Rs.2,225 crore, iron ore Rs.1,921 crore, lignite with Rs.615 crore and limestone Rs.562 crore.

Together, these six minerals have contributed around 94% of the overall value of mineral output in the month of August.

The production of apatite and phosphorite recorded the highest growth of 120% in August over the previous year. The other minerals showing positive growth are diamond with 47.9% growth, lead concentrate increased by 41.4%, bauxite by 25%, iron ore 20.6%, zinc conc. 19.4%, lignite 17.4%, coal 15.7%, limestone 10.4%, manganese ore 9.6% and natural gas (utilised) by 4.5%. 

However, some minerals such as magnesite, gold, copper conc., chromite and petroleum (crude), witnessed a negative growth of 52%, 28.5%, 15.3%, 5.8% and 1.6%, respectively.

The mining industry contributes significantly to India’s economy, with 2.2% to 2.5% contribution to the GDP. However, going by the GDP of the overall industrial sector, the industry has a contribution of about 10%-11%.