Royalty Rates for 12 Important Minerals Gets Approval

  • The Union Cabinet, chaired by Prime Minister Shri Narendra Modi, has approved the amendment of the Second Schedule to the Mines and Minerals (Development and Regulation) Act, 1957 (‘MMDR Act’). 
  • The amendment specifies royalty rates for 12 critical and strategic minerals: Beryllium, Cadmium, Cobalt, Gallium, Indium, Rhenium, Selenium, Tantalum, Tellurium, Titanium, Tungsten, and Vanadium. 
  • This approval completes the rationalization of royalty rates for all 24 critical and strategic minerals. 
  • The approval will enable the Central Government to auction blocks for these 12 minerals for the first time in the country. 
  • The royalty rate for these minerals is a significant financial consideration for bidders in the auction of blocks. 
  • The Ministry of Mines has prepared a manner for calculating the average sale price (ASP) of these minerals. 
  • The approval of these royalty rates is expected to lead to a reduction in imports, establishment of related industries and infrastructure projects, and increased employment in the mining sector.
Posted in Current Affairs.