What Are The Major Challenges That Are Plaguing The Mining Industry?
Valued at USD 14.3 Billion in 2019, the global graphite market will reach USD 21.6 Billion by 2027. Here is what graphite mining companies and industry have to say about the current problems.
India is one of the leading countries that produce flake graphite, Which houses some of the largest graphite mining companies. And ranks amongst the top five graphite producers with reserves of nearly 11m tones. There are reports about graphite reserves from different states. Which are Arunachal Pradesh, Gujarat, Jharkhand, Maharashtra, Karnataka, Kerala, Tamil Nadu, Odisha, Chhattisgarh, and Rajasthan. However, deposits of economic significance are available at Andhra Pradesh, Chhattisgarh, and Arunachal Pradesh. These places still need to be exploited for increased production and better variants.
Significance Of The Use Of Flake Graphite:
An allotrope of carbon, graphite is a very good conductor of electricity and heat with temperature resistance. It is one of the hardest and strongest naturally occurring substances. it finds application in a range of products. Flake graphite consists of layers of graphene. Which is the minerals’ base structural element. Consumption of flake graphite is growing as amorphous graphite consumption falls. The estimated global consumption of natural graphite in 2008 was approximately 1.1 million tonnes. 71 percent was in Asia, and 43 percent specifically in China. But India is not lagging behind. The graphite mining survey companies in India are experiencing an all-time high.
Current Market Scenario:
India currently produces around 89 minerals under different groups, with fuel minerals, metallic minerals, non-metallic minerals, atomic minerals, and also, minor minerals. The country has immense potential for mining resources and reserves. Which is currently among the top 10 global producers of many industrial minerals.
Major Challenges In The Indian Mining Industry:
- New Government: Although the new government aims to modernize its mining industry, the policies and procedures remain unclear.
- Environmental Clearances: To obtain environmental clearance is mandatory, however, the procedure is time-consuming and the decision is mainly at the discretion of the Supreme Court.
- Social License To Operate: Opposition from local landowners living near mining areas has made it even difficult to obtain a social license.
- Infrastructure Access: Access to energy resources, transportation, and skilled labor is limited.
- Competition For Land Usage: Problems related to land usage for new mines amidst legal, environmental, and social concerns.
- Fraud And Corruption: Lack of transparency in policies is fueling corrupt practices.
- Regulations: Regulatory and also, a policy framework is outdated.
Tasso Alloys Pvt. Ltd. is an Indian-listed mining company with three graphite mining leases, and also, a large land package. The company aims at being the top graphite mining company in the world through its products and also, ethical working relationships.