NEW DELHI -- Prime Minister Narendra Modi is trying to woo private and foreign investors to help revive an Indian mining sector distorted by decades of bureaucratic hurdles and complex regulations, but industry players say more is needed to turn the sector into an engine of growth.
Mining's share of India's gross domestic product fell from 3.4% in 1993 to 2.4% in 2015 amid industry stagnation. A report published during the term of the previous government by the Federation of Indian Chambers of Commerce and Industry highlighted issues such as difficulties securing environmental and forest clearance approvals, opposition from local communities and campaign groups and difficulties acquiring land rights. According to Ministry of Mines estimates, the value of metallic minerals produced fell an estimated 13% to 291.62 billion rupees ($4.51 billion) in the fiscal year that ended March 31, the sixth straight year of declines.
