Context:
As per the recent data of the Ministry of Mines, In the first quarter of FY 2024-25, India stands as the 2nd, 3rd, and 4th largest producer of Aluminium, limestone and iron ore, respectively, in the world.
Growth in Mineral Production
- In Q1 of FY 2024-25, the production of key minerals like iron ore and limestone has maintained strong growth, following record production levels in FY 2023-24.
- Iron ore and limestone together make up about 80% of the total MCDR (Mineral Conservation and Development Rules) mineral production by value. In FY 2023-24, iron ore production reached 275 million metric tons (MMT), while limestone production was 450 MMT.
- The production of iron ore has surged from 72 MMT in April-June 2023 to 79 MMT in the same period of 2024, reflecting a notable 9.7% growth.
- Limestone production also increased, rising from 114 MMT (April-June 2023) to 116 MMT (April-June 2024), marking a 1.8% growth.
Top Producers in the World
- Aluminium: China (41 million metric tons)
- Limestone: China
- Iron Ore: Australia (960 million metric tons)
Non-Ferrous Metals Sector
- In the non-ferrous metal sector, primary aluminium production has shown a growth of 1.2%, increasing to 10.43 lakh tons in Q1 (April-June) of FY 2024-25 from 10.28 lakh tons in the same period last year.
- In 2023, India produced 4.1 million metric tons (MMT) of primary aluminium, accounting for 6 per cent of global production, out of which as much as 56%, or 2.3 MMT, is exported.
- Globally, China is the largest aluminium producer with a 59% production share.
Economic Implications
- The continued growth in iron ore and limestone production indicates strong demand in user industries such as steel and cement.
- Coupled with the growth in aluminium production, these trends suggest sustained economic activity across sectors like energy, infrastructure, construction, automotive, and machinery, reinforcing India’s position in the global mineral market.