The State Government has initiated some key reforms to ensure “Ease of Mining”, Steel & Mines Minister Prafulla Kumar Mallick told industry leaders at a ‘Conference on Increasing Mining Sector: Contribution to GDP’ organised by the Confederation of Indian Industry (CII) here on Wednesday.

A robust mining sector and downstream industry would shape the economic growth of Odisha, a State which is being seen as one of the most lucrative investment destinations in India and South East Asia, Mallick observed.

Odisha is the first State to auction a large iron ore mine while five more iron ore mines have been selected for auctioning, he said.

Steel & Mines Principal Secretary RK Sharma said Odisha, which has 33 per cent of the country’s iron ore reserves and 25 per cent coal, has traditionally been a mining hub.

Mines need to be explored to the optimum level, for which the there must be in place an easy and efficient clearance system, Sharma said, adding that skill development is also important, so is an effective and efficient logistics system.

Industries Principal Secretary Sanjeev Chopra said the Government is working to set up an Odisha Mining Exploration Corporation to give a boost to mines exploration.

CII Eastern Region chairman TV Narendran said growth of the mining has a positive impact on downstream industries such as power generation, steelmaking, aluminium, auto, chemicals, cement and infrastructure.

He also underscored the need for strong logistics infrastructure, including key rail links and coastal shipping on eastern India’s seaboard to ensure appropriate evacuation and cost effective mineral transportation. “Expanding capacity at major ports such as Paradip and Vizag will ease sea route transport of coal and iron ore from eastern ports in India to other coastal demand areas,” Narendran said.

CII Odisha chairman Sanjay Pattanaik said mining remains the biggest strength not only for Odisha but the east India as a whole. With India having seen a significant increase in demand for commodities on the back of a steady economic growth and urbanisation, a rapid development of the mining and metals sector would define how the Indian economy would grow, he observed.

CII Odisha member Manikanta Naik said that with the enabling policies in place, the mining sector is all set to achieve excellent growth in the coming years.