Union Minister Highlights Blue Economy and Offshore Mining Potential
Hyderabad: Union Minister for Coal and Mines, G. Kishan Reddy, emphasized the importance of leveraging the blue economy to achieve a self-reliant and developed India. He was speaking at an event in New Delhi on Thursday to mark the launch of India’s first Offshore Mineral Blocks auction.
The minister declared that a new era in offshore mining is beginning for India. “We are advancing in line with Prime Minister Modi’s vision of achieving a greener planet through the blue economy,” he said. Reddy pointed out that while the Offshore Mineral Development Act was enacted in 2002, its implementation faced delays due to legal and other challenges, stalling the auction process for 13 years.
He revealed that India has identified 21 lakh acres of offshore mineral reserves. This initiative, he noted, will elevate India’s mining sector and place the country among the few globally involved in offshore mining. “Today, India joins this select group of nations,” he said.
The minister also highlighted the growing demand for critical minerals, driven by the increasing use of renewable energy equipment and electric vehicles. Minerals like lithium, cobalt, and nickel are expected to see a sharp rise in demand, with international estimates suggesting that the offshore minerals market could reach nearly ₹1 lakh crore by 2030. Currently, India imports significant quantities of these critical minerals, posing both a challenge and an opportunity.
To address this, Reddy announced plans to launch a Critical Mineral Mission in India. He shared that steps are already underway, with government PSUs like U Kabil exploring critical mineral resources abroad. For example, exploration activities are ongoing in five lithium blocks in Argentina, and India is in discussions with other countries to secure access to essential resources.
Following Prime Minister Modi’s instructions, Finance Minister Nirmala Sitharaman announced the Critical Mineral Mission, and within just five months, substantial progress has been made. Reddy assured that more auctions will soon be conducted in this sector, with efforts to involve both private organizations and government PSUs to achieve better results.
The minister also highlighted the tremendous growth in state revenues from the mining sector. Between 2004 and 2015, state revenues amounted to ₹60,000 crore, but this figure has now surged nearly fourfold to ₹2.54 lakh crore for 2024-2025.
In conclusion, Reddy expressed confidence that India’s advancements in offshore mining and critical minerals will play a key role in realizing the nation’s vision of becoming a developed and self-reliant economy.
