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India’s October mineral production climbs 10.54% m-o-m

27 Dec 2011 Evaluate

India’s mineral production climbed 10.54% higher in the month of October 2011 as compared to the preceding month according to the data released by ministry of mines. However, the data also showed that mining sector activity measured by the index of mineral production, registered negative growth of 7.19% during October as compared to that of the corresponding month of 2010. The recent decline in iron ore and coal production owing to ban in some key mining areas has become a major issue with mining ministry and companies.

Out of the six minerals which together contributed about 96% of the total value of mineral production in October 2011, the petroleum (crude) remained the highest contributor at Rs 5,806 crore which is 40% of Rs 14,555 crore, the total value of mineral production (excluding atomic & minor minerals) during October 2011. Coal production was next in the order of importance with a value of Rs 3,748 crore, which is around 26% of the total value followed by Iron Ore which contributed Rs 2,321 core, around 16% of the total value. Natural gas (utilized), Lignite and Limestone contributed Rs 1,472 core, Rs 288 core and Rs 276 crore respectively which is around 10%, 2% and 2% of the total value correspondingly.

The output of chromite increased by 47.18%, magnesite 34.90%, coal 33.88%, limestone 5.90%, manganese ore 5.20%, petroleum (crude) 3.21%, natural gas (utilized) 1.37 percent in October 2011. The production of lignite remains at the level of previous month. However, the production of iron ore decreased by 1.24%, dolomite 2.17%, copper conc. 2.48%, lead conc. 2.61%, zinc conc. 2.71%, apatite & phosphorite 9.80%, bauxite 11.06%, diamond 28.14% and gold 29.25 percent.

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