Pulling out prosperity: Chhattisgarh shines in mining sector

Representational image

Team News Riveting

Raipur, October 11

Endowed with world class mineral resources, Chhattisgarh has taken a big leap forward to record remarkable progress in the mining sector in the recent years.

By prioritising transparency, accountability, and technological innovation, the state has implemented wide-ranging structural reforms in mineral administration, positioning itself among India’s leading mining states.

The state is home to world-class reserves of iron ore, coal, limestone, bauxite, and tin ore. Recent explorations have also confirmed the availability of critical, strategic, and rare earth minerals, further strengthening Chhattisgarh’s global standing.

Mining contributes nearly 10 per cent to the state’s Gross Domestic Product (GDP) and accounts for about 17 per cent of India’s total mineral output. In the past 25 years, the state’s mineral revenue has increased 34-fold—from ₹429 crore at the time of state formation to ₹14,592 crore in 2024–25. This achievement reflects Chhattisgarh’s robust mineral policy and sustained administrative reforms.

Since the implementation of the Mineral Auction Rules, 2015, framed under the amended Mines and Minerals (Development and Regulation) Act, 1957, Chhattisgarh has successfully auctioned 60 mineral blocks. These include 15 iron ore, 14 bauxite, 18 limestone, and 13 critical and strategic mineral blocks. Additionally, the auction process has been initiated for five new blocks (two limestone, one iron ore, one gold, and one base metal block).

The Directorate of Geology and Mining, Chhattisgarh, has signed MoUs with IIT Bombay, IIT (ISM) Dhanbad, and Coal India Limited to strengthen long-term research and exploration in the mining sector. This collaboration has given scientific impetus to the discovery of critical and strategic minerals.

In line with the Prime Minister’s Guidelines-2024 for Mineral Area Welfare, the District Mineral Foundation (Trust) Rules, 2025 have been notified in the state. Chhattisgarh has so far received ₹16,119 crore under DMF contributions. Of this, 1,05,653 projects have been sanctioned, out of which 74,454 have been completed. To ensure financial transparency, monitoring, and efficient management, the DMF Portal 2.0 has been launched.

The Mineral Online 2.0 portal, developed by the Mineral Department, has digitised the state’s mineral administration, making it secure, user-friendly, and multi-dimensional. By promoting transparency and efficiency, this initiative has helped establish Chhattisgarh as a national model in mining management.

In line with the principles of Ease of Doing Business, the allocation of sand mines has been fully digitised through an MoU with MSTC, eliminating human intervention and ensuring a transparent, impartial, and secure process.

Under the Minor Mineral Rules, 2015, a star-rating system has been introduced to evaluate mines based on environmental management, safety measures, and sustainable development. So far, three mines have been awarded a 5-star rating and 32 mines a 4-star rating, reflecting the state’s commitment to scientific and responsible mining practices.

Chief Minister Vishnu Deo Sai said that mineral wealth was not merely an economic resource but also the foundation of the state’s holistic development. “Through policy reforms, digital transparency, and sustained focus on sustainable development, Chhattisgarh has presented an exemplary administrative model in the mining sector. This progress not only strengthens the economy but also marks a permanent step towards people-centric development,” he added.

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