MINES AND MINERALS

India Landscape
Rajasthan Landscape
Policies & Incentives
EODB
Opportunities

INDIA LANDSCAPE

National Strategic Priority

India has identified 30 critical minerals considered essential for economic development and national security.
The Government launched auctions of critical and strategic mineral blocks and introduced an exploration licence regime for critical and deep-seated minerals.
The National Critical Mineral Mission, approved in 2025, strengthens exploration, mining, processing, recycling and overseas acquisition of critical-mineral assets.

Sector Performance at the National Level

India produces 95 minerals, spanning fuel, metallic, non-metallic, atomic and minor minerals.
The Index of Mineral Production (base 2011-12) reached 128.9 in FY 2023-24, 7.51% higher than FY 2022-23.
The provisional value of MCDR mineral production, excluding atomic, fuel and minor minerals, was INR 1,41,239 crore in FY 2023-24, an increase of approximately 14.83% year-on-year.
Mining and quarrying contributed INR 5,25,881 crore at current prices in FY 2023-24, equivalent to 1.97% of India’s total GVA.
A provisional 2,036 mines reported MCDR returns in FY 2023-24, comprising 795 metallic-mineral mines and 1,241 non-metallic-mineral mines.
Iron ore production reached about 275 million tonnes in FY 2023-24 and a provisional record 289 million tonnes in FY 2024-25.
In FY 2024-25, India produced a provisional 24.7 million tonnes of bauxite, 3.8 million tonnes of manganese ore, 393 thousand tonnes of lead concentrate and 42 lakh tonnes of primary aluminium.
India is the world’s second-largest producer of aluminium and the fourth-largest producer of iron ore.

Rajasthan Landscape

Sector Performance:

Rajasthan produces 22 major minerals and 36 minor minerals; mining activity covers about 0.68% of the State’s geographical area.
The State is India’s sole producer of lead, zinc, wollastonite, selenite as stated in Rajasthan Mineral Policy 2024.
In FY 2023-24, mineral revenue to the State was INR 7,491 crore and the sector contributed 3.4% to Rajasthan’s GSDP.
Rajasthan’s MCDR mineral-production value was provisionally INR 21,922 crore in FY 2023-24, representing 15.5% of India’s total MCDR mineral-production value.
Rajasthan accounted for the entire national production of lead and zinc concentrates in FY 2023-24.
In FY 2021–22, India produced approximately 114.42 thousand tonnes of copper concentrate, of which Rajasthan contributed about 49.4 thousand tonnes, accounting for approximately 43.17% of the country's total copper concentrate production.
Rajasthan has established strengths in limestone, lead-zinc, silver, copper, phosphorite/rock phosphate, gypsum, marble, sandstone and granite, with prospective resources of gold, potash, rare earth elements, tungsten and lithium.
As per the Rajasthan Mineral Policy 2024, the State had 148 mining leases for major minerals, 16,817 mining leases for minor minerals, and 17,454 quarry licences during the period covered by the policy.

Rajasthan: Value Proposition for Mines & Minerals Investors

100% FDI is permitted under the automatic route for mining and exploration of metal and non-metal ores, including diamond, gold, silver and precious ores.
100% FDI is permitted under the government route for mining and separation of titanium-bearing minerals and ores, including value addition and integrated activities.

As of 2019, the State possesses substantial share of the total resources of potash, lead & zinc ore, wollastonite, silver ore, gypsum, ochre, bentonite, fuller's earth, diatomite, feldspar
Rajasthan boasts of being the top producer of limestone, copper ore, silver, rock phosphate, and gypsum, in addition to being the only producer of zinc and lead in the nation and the greatest producer of marble
The state, particularly the Barmer region, is a significant contributor to India's crude oil production
Rajasthan also ranks second in natural gas production, with substantial reserves and ongoing extraction activities

As of 2023, the mines department has developed infrastructure facilities for geo-physical exploration, petrology and remote sensing in this state.
Rajasthan has 460+ well developed industrial areas with 1,05,181 acres of land
Major locations in Rajasthan where mining is undertaken are Khetri, Rampura Agucha, Zawar, Kayad etc.

The State has excellent connectivity to domestic and export markets via multiple modes of transportation. It features the third largest network of national highways, with 20 major routes, and more than 58% of its area lies within the Delhi Mumbai Industrial Corridor (DMIC). Additionally, the State has the third largest rail network in India, enhancing its strategic accessibility.

Highly skilled young talent emerging from institutes such as Rajasthan Technical University offering various programs such as mining engineering in this sector

Policies & Incentives

Rajasthan Investment Promotion Scheme (RIPS) 2024

View Policy

Asset Creation Incentives (ACI)
(for eligible manufacturing enterprises)

Capital Subsidy of up to 28% over 10 years, OR
Turnover Linked Incentives (TLI) of up to 2% for 10 years, OR
Investment subsidy (Net SGST reimbursement) up to 75% for 7 years

Exemptions

100% exemption on electricity duty for 7 years
100% stamp duty and conversion charge exemption
100% exemption in land tax

Special incentives

Employment booster of up to 15% on chosen ACI
Additional incentives: Green incentives, Freight subsidy, Cluster incentives, Training and Skilling incentive

Additional incentives
(For manufacturing thrust sectors)

10% thrust booster on top of ACI chosen, OR
5% interest subsidy for 5 years, OR
20% anchor booster on top of ACI chosen to first 3 units in a region / sector
100% banking, wheeling, and transmission charges waived off / reimbursed for captive power plants set up by anchor enterprises
Policy allows phasing of investment without loss in benefits

Customized Packages

Additional flexibility for investors to design own ACI mix through customized packages for investment over INR 500 crore. In case of investments greater than INR 1000 Cr. and greater than 800 employment generation, the State reserves the right to grant customization on a higher NPV of the Asset Creation Incentive up to up to 20% of the NPV of the chosen Asset Creation Incentive as part of the manufacturing/ services standard package on a case-to-case basis.

Rajasthan Micro, Small and Medium Enterprises Policy, 2024

View Policy

Rajasthan Mineral Policy, 2024

View Policy

Aims to foster sustainable mineral extraction
Ensures safety, conservation, cost-effectiveness, and social responsibility
Encouraging transparency in granting mineral concessions
Seeks to boost investment in mineral-based industries through a conducive regulatory and fiscal framework

Rajasthan M-Sand Policy, 2024

View Policy

The policy focuses on promoting the use of M-Sand as a sustainable alternative to river sand in construction activities

Incentives and Subsidies

Financial assistance for setting up M-Sand manufacturing units.
Tax benefits and simplified regulatory procedures.

Promotion of M-Sand Production

Encouragement for establishing M-Sand units to reduce dependency on river sand.
Creation of awareness and training programs for stakeholders.

Collaboration with Industry

Financial assistance for setting up M-Sand manufacturing units.
Tax benefits and simplified regulatory procedures.

Sustainable Development Goals

Alignment of the M-Sand policy with resource conservation and environmental protection objectives.

Ease of Doing Business

RajNivesh portal provides a single point, online interface and a time-bound clearance system by acting as a one-stop information / registration / approval / tracking centre for clearances & approvals
The platform integrates 190+ services across 18 departments, emphasizing the state's commitment to the implementation of investor-friendly policies that enhance ease of doing business and promote sustainable development

100% FDI allowed under automatic route in the sector