The mining sector, a significant contributor to India’s economy, has been marred with illegal activities, flagged repeatedly by the Indian Bureau of Mines (IBM) as a severe problem. Recently, the IBM highlighted massive corruption involving illegal manganese mining and transportation in Odisha, a mineral-rich state contributing to over 90% of the country’s chrome ore, around 50% of bauxite reserves, and approximately 33% of hematite iron ore.
Mining lease holders in Odisha have been accused of dispatching manganese ore as low-grade from their mines to traders in West Bengal, who subsequently sell it as high-grade without any processing. This situation raises serious concerns ranging from environmental degradation to economic issues and human rights violations.
Understanding Illegal Mining
Illegal mining is the unauthorized extraction of minerals, ores, or other valuable resources from land or water bodies without necessary permits, licenses, or regulatory approvals from government authorities. This act may also involve violation of environmental, labour, and safety standards.
Illegal mining can cause environmental degradation leading to deforestation, soil erosion, water pollution, destruction of wildlife habitats, and serious ecological consequences. Health risks are also prominent due to the use of hazardous chemicals such as mercury and cyanide. These illicit activities also lead to a loss of revenue for governments as miners avoid paying appropriate taxes or royalties. Moreover, illegal mining often results in human rights violations, like forced labour and exploitation of vulnerable populations.
Laws Governing Mining in India
India’s constitution mandates state governments to own minerals located within their boundaries, while the central government owns minerals within the nation’s exclusive economic zone (EEZ). The Mines & Minerals (Development and Regulation) (MMDR) Act of 1957 was framed in accordance with these constitutional mandates.
The International Seabed Authority (ISA) regulates mineral exploration and extraction in the international seabed area, regions outside national jurisdiction limits. As a party to this UN treaty, India has exclusive rights to explore polymetallic nodules over 75000 sq. km in the Central Indian Ocean Basin.
India’s Mining Sector
India has a rich mineral resource base with large deposits of iron ore, coal, bauxite, manganese, copper, gold, zinc, lead and other minerals. The mining sector accounts for around 2.5% of India’s GDP while providing employment to millions. Coal production stood at 777.31 million tonnes in FY 2021-22, making India the world’s 2nd largest coal producer as of 2021. Mineral production in FY22 is estimated to be Rs. 190,392 crore (USD 24.95 billion), and India ranks 4th globally in terms of iron ore production.
Manganese: A Vital Mineral
Manganese is a hard, silvery-grey metal abundantly found in the Earth’s crust. It is an essential nutrient for humans, animals, and plants and is used widely in industrial applications such as steel production, aluminium alloys, and battery manufacturing. Manganese is a crucial raw material for iron ore smelting and ferro alloys manufacture. While manganese deposits are found across geological formations, it is mainly associated with the Dharwar system, particularly Odisha which is the leading producer in India.
Steps to Address Illegal Mining
To mitigate illegal mining, a legal and regulatory framework that is strengthened to prevent illegal practices, coupled with the use of modern technologies for monitoring and detection, is needed. Stakeholder collaboration, awareness campaigns about harmful effects, and promoting sustainable mining practices can also play pivotal roles.
Government Initiatives Related to Mining
The government has rolled out initiatives like the National Mineral Policy 2019, aiming to increase mineral exploration and production while promoting sustainable mining practices. The Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY) is another welfare scheme for mining-affected areas, complemented by projects like Sagarmala aimed at developing port infrastructure to support the growth of the mining sector.
Addressing illegal mining effectively involves a multi-pronged approach, bolstering legal and regulatory frameworks, enhancing monitoring, promoting sustainable practices, and heightening awareness about the deleterious effects of such activities.