Vedanta Chairman Anil Agarwal has highlighted India’s potential to become the world’s leading producer of iron ore, surpassing Brazil and Australia. Currently, India produces around 290 million tonnes of iron ore annually, but Agarwal believes that this figure needs to increase to over 950 million tonnes to meet the country’s economic and industrial aspirations. This is in line with the National Steel Policy, which aims to increase steel production capacity to 300 million tonnes by 2030.
Agarwal emphasized that under the current system, tripling iron ore production would take around 25 years. However, with strategic reforms to the mine auction process, this goal could be achieved in just five years. He stressed that such a transformation would have numerous benefits, including enhancing mineral security, supporting India’s steel ambitions, generating massive employment, and making a significant contribution to GDP growth.
Agarwal’s comments come at a time when there is increased momentum in the sector, with proposals being discussed to reserve key mineral blocks for experienced miners in the national interest. Companies like NMDC are also outlining aggressive capital expenditure and production targets for the decade ahead. Agarwal’s remarks align with the broader national agenda to harness India’s resource wealth for inclusive growth and global competitiveness.
To achieve this ambitious goal, Agarwal suggested a rethink of the mine auction process, which could accelerate mine development and increase production. He believes that with the right structural reforms, India can unlock its vast potential and become a leading player in the global iron ore market. This would not only benefit the steel industry but also have a positive impact on the economy as a whole, generating employment and contributing to GDP growth.
Overall, Agarwal’s comments highlight the need for strategic reforms to unlock India’s iron ore potential and achieve the country’s economic and industrial aspirations. With the right policies and investments in place, India can become a leading producer of iron ore and a major player in the global steel industry, driving growth and development for the country.