Owing to higher demand for electricity and cement, coal has become the most valued mineral with production in 2010 valued at $10.7bn.
Iron ore mining dominates the metallic minerals segment while limestone mining leads the non-metallic minerals category.
The substantial business opportunities and favorable policies of the Indian government are likely to invite significant investments from multinational corporations, the report states.
The country’s mining industry grew at a CAGR of 10.4% during the 2006-2010 review period. The mineral production in 2010 is estimated at about 1 billion tonnes, recording a CAGR of 4.7%.
The expansion of key end-user markets such as construction, infrastructure and power generation will continue to generate demand for minerals until 2015, the BRICdata report forecasts.
The report lists increased demand, prospecting, exploration of unknown deposits, new discoveries and availability of the latest technologies among the opportunities to the Indian mining industry. On the other hand, illegal mining, environmental issues and bureaucracy continue to be the key areas of concern.
The full report, ‘India Mining Industry Outlook – Market Opportunities and Entry Strategies, Analyses and Forecasts to 2015’ is available from BRICdata. Click here for more details.
