2008 · Paper V · 10 marksFrequently asked

Explain about the mineral resources present in India.

In short

India has rich but unevenly spread mineral resources, with metallic minerals concentrated in the peninsular plateau and eastern belts, while critical minerals like lithium, cobalt and nickel are scarce and imported. The 2023 MMDR amendment placed 24 critical minerals under central auction, and Andhra Pradesh holds 86.11% of India's barytes.

Model answer

Ghissu Editorial · Verified 4 Oct 2026

Introduction
India’s mineral resources underpin its industrial growth and clean energy transition, with a geologically diverse but unevenly distributed mineral base. These resources are vital for sectors like steel, power, and emerging technologies, making their sustainable management crucial for economic and strategic goals.
Institutional Framework
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Exploration Agencies

The Geological Survey of India, MECL, and NMDC conduct systematic surveys, providing critical data for mineral development and aiding discovery of new deposits.

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Regulatory Updates

The Mines and Minerals (Development and Regulation) Act, amended in 2023, lists 24 critical and strategic minerals in Part D of the First Schedule, facilitating focused exploration and mining of rare earths and energy metals. This legal framework aims to streamline licensing and promote transparency.

Challenges
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State-Level Issues

Andhra Pradesh1 controls significant mineral reserves but struggles with revenue collection and compliance, as audit reports highlight gaps in remittances to the mineral exploration trust fund. Additionally, challenges in regulatory enforcement and illegal mining affect sustainable resource management.

Strategies
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Critical Mineral Missions

The National Critical Mineral Mission32 aims to secure supply chains4 for clean energy minerals, supporting strategic autonomy and reducing import reliance amid global supply uncertainties.

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Sustainable Mining and Infrastructure

Emphasizing free, prior, and informed consent in sensitive areas and investing in infrastructure and skill development will improve sector efficiency. Aligning vocational training with industry needs and upgrading transport networks are key to boosting productivity.

Conclusion
India’s mineral sector, bolstered by institutional reforms and strategic missions, can achieve resource security and support sustainable development and climate goals. Addressing governance, technological, and social challenges will unlock the full potential of its mineral wealth for inclusive growth.

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Hand-drawn diagram: India's mineral position. India's mineral position. Diagram (tree): India's mineral position; Rich in; Barytes (AP 86.11%); Road metal (AP 18.49%); Lacking; Lithium, cobalt, nickel; Hence import dependence
Diagram: India's mineral position

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