GLOBAL MINING INDUSTRY

The worldwide mining market is predicted to increase at a CAGR of 12.4% over the next five years. The mining market is made up of businesses (organisations, sole traders, and partnerships) that sell minerals, metals, and other precious commodities such as sand and gravel, coal, and stone that have been removed from the earth’s crust. Mining services, general minerals, stones, copper, nickel, lead, and zinc, metal ore, and coal, lignite, and anthracite are all segments of the mining market. The mining market is projected to be driven by government policies that assist the mining industry. Governments are subsidising the mining industry and encouraging foreign direct investment (FDI). The amount of government support includes investment in mining projects by government-owned public finance institutions such as bilateral development banks and export credit agencies, fiscal support through budget allocations and tax exemptions, and investments by majority-owned mining and utility companies. These government initiatives will continue to assist the mining industry’s expansion. To provide clean and sustainable electricity, power generation businesses are increasingly turning to alternative energy sources such as natural gas, nuclear power, and renewables. The falling cost of installing renewable energy sources is also encouraging their adoption for power generation. The demand for coal in power generation is projected to be restrained as a result of this.

ENTREPRENEURIAL OPPORTUNITIES

In the previous five years, the Asia-Pacific area has experienced numerous investments, new capacity increases, and new exploration start-ups. Countries like China, Australia, India, and Indonesia, in particular, have been particularly active in the mining industry and are likely to drive the Asia-Pacific market at the fastest rate of growth compared to other regions. The mining industry is predicted to grow steadily in the future years, as demand for natural resources continues to rise. In recent years, higher GDP growth rates and new development zones in some regions have also aided the industry’s expansion.

INDIAN MINING SECTOR

With the central government’s approvals for pending mining reforms due in January and attempts to boost total mineral output ongoing, the country’s mining sector is projected to experience “hectic activities” in the New Year, which will be a “bridge year between the past and the future.” There is a lot of room for increased mining capacity in iron ore, bauxite, coal, and other minerals, as well as a lot of room for future sub-surface deposit discoveries. Infrastructure projects continue to offer steel, zinc, and aluminium producers significant economic prospects. The real estate industry relies heavily on iron and steel. The mining sector in India is predicted to increase. The mining sector plays a critical role in supplying the daily needs of the average person and contributes greatly to a country’s industrial and economic progress. The metals and mining business in India is growing due to increased infrastructural development and automobile manufacture. Mining leases for a period of 50 years have been awarded in India, which has a tremendous mineral potential. In the steel and alumina industries, India has a competitive advantage in terms of production and conversion costs. Its strategic location allows for the development of export potential as well as fast-growing Asian markets. Growth is being fueled by an increase in infrastructural construction and automobile manufacture. The power and cement sectors are also contributing to the sector’s growth. Given the excellent development prospects for the residential and commercial construction industries, demand for iron and steel is expected to continue.

TOP PLAYERS WORLDWIDE

• BHP Billiton Ltd
• Glencore Plc
• Vale SA
• Rio Tinto Group
• CRH Plc
• National Mineral Development Corporation
• Vedanta
• Hindustan Zinc
• Hindustan Copper
• Hindalco Industries
• Bharat Aluminium Company
• Rajasthan State Mines and Minerals
• Gujarat Mineral Development Corporation