New Delhi: India’s mining and metals industry must improve production efficiency, extract more value from existing operations and build resilient mineral supply chains to compete globally, a FICCI-KPMG report released on Thursday said.
Titled Mineral Extraction to Metals Production: India’s Technology Pivot for Competitiveness, the report said strong domestic demand, infrastructure expansion and India’s long-term development ambitions offer the sector an opportunity to strengthen its global position.
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However, rising costs, declining ore grades, geopolitical uncertainty, decarbonisation requirements and competition for critical minerals are changing the conditions for growth.
The report argued that the sector’s future will depend on performance across the entire value chain, rather than production volumes alone.
It recommended using low-grade ores, slimes, tailings, scrap and other underutilised materials as productive feedstock to improve resource efficiency and increase the recovery and reuse of materials.
Such measures could help companies unlock value from existing operations while reducing waste and strengthening supply chains.
The report was launched by Union Minister Jitendra Singh at FICCI’s third conference on digitalisation, AI, automation and technology integration in mining and metals.
Ranjan Dhar, Co-Chair of FICCI’s Steel Committee and Director and Vice President, Sales and Marketing, at AMNS India, called for sustained investment in technology adoption.
He said the industry’s extensive data could be used to improve efficiency and bring Indian operations closer to leading global standards.
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FICCI said steel capacity is envisaged to reach 500 million tonnes, aluminium production is expected to grow nearly seven-fold and copper demand is projected to more than double by FY2047.
Meeting that growth competitively will require more than extracting additional minerals and producing more metal, the industry body said.
The key will be how efficiently India converts its mineral resources into higher-value products and builds supply chains that are resilient and make greater use of recovered and recycled materials.
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