Top export sector for India market

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India allows foreign investment in the mining of most non-fuel minerals.

Mining and mineral processing equipment

(in US$ million)

Mining and mineral processing equipment	1995	1996	1997*
Total market size	895	1,075	1,235
Locally manufactured	625	750	885
Total exports	50	80	130
Total imports	320	405	480
Exchange rate: US$1 = Rs.	32.75	34.95	35.00
Source: Independent studies *1997 figures are estimates

 

Promising sub-sectors	1997* market size (US$ mn)
Mineral screening, washing - flotation / separation and sedimentation - equipment	390
Mine locomotives	215
Excavators, shovels etc	120
Walking draglines	110
Long wall loader systems	90
Coal/rock cutters	80
Mine communications equipment	50

Points to note:

• India has vast reserves of ferrous and non-ferrous minerals including iron ore, manganese, chromite, copper, lead, sulphur, zinc, gold, platinum and diamond.

• But their exploitation is less than optimum due to old technology.

• A new mineral policy introduced in 1993 allows foreign investment in the mining of most non-fuel minerals.

• As far as fuel minerals are concerned, India has huge reserves of coal spread all over the country.

• Coal mining remains state-owned but remains inefficient. So, the sector needs imported technology and equipment for greater efficiency.

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