As per Consolidated Foreign Direct Investment Policy Circular 1 of 2012 dated 10th April 2012 issued by the Department of Industrial Policy and Promotion, Ministry of Commerce and Industry, Government of India, FDI up to 100% is permitted under the automatic route in Mining and Exploration of metal and non metal ores including diamond, gold, silver and precious ores etc subject to the Mines and Minerals Act 1957.
Restrictions are stipulated for Titanium Ores. Further, FDI is not allowed in prescribed substances as notified by Department of Atomic Energy.
As per the Government statistics maintained by the Department of Industrial Policy and Promotion, the magnitude of the Foreign Direct Investment into the mining sectors since April 2000 to March 2012 is INR 4054.63 crore.
FDI inflow leads to induction of (i) mining technology, (ii) Automation in mining and (iii) productivity increases.
This information was given by Mr Dinsha Patel the minister of Mines in a written reply to a question in Rajya Sabha tabled.
