The impact of major minerals on the economy of J&K – An overview                                                                              

1024 681 Madiha Trumboo

Minerals have long been considered as the basis for the development of human civilization through time. The mineral resources play a significant role in the economic development of any nation. Jammu and Kashmir is endowed with a rich variety of valuable minerals covering an area of 13334 sq. kms. The valley’s mountains are treasured with abundant mineral wealth, constituting the metallic minerals like iron and  copper; non-metallic minerals like limestone, gypsum, dolomite, quartzite, graphite; the building stones like slate, marble, and granite; and the energy minerals like coal. The Union Territory (UT) is the exclusive holder of borax and sapphire and possesses 36% of graphite, 21% of marble and 14% of gypsum. The Kashmir valley comprises sedimentary, metamorphic and igneous rocks whereas the outer hill division covering Jammu comprises Siwaliks, Murees and Dogra slates. Boulder, bajari and sand are the most essential requirements for construction of infrastructure projects like real estate, roads, bridges, multiplexes, buildings and industrial units. The demand of sand is mainly met by river borne sediments of river Jhelum which is restricted between two stretches i.e., Lasjanbridge to Rajbagh and cement bridge to Panzinara.

At present, Jammu and Kashmir has 110 registered major and minor mineral-based units. Among these, Jammu province constitutes 72 units and Kashmir province has 38 units respectively. In the present time, mining is the basic factor for industrial development, because it alone provides means for advanced industrial operations. Mining contributes to a significant portion of gross domestic product (GDP). According to the recent data from the department of Geology and mining J&K, the revenue released from the Kashmir division during the year 2018-2019 was Rs 357,962,474.0 whereas the Jammu division contributed to Rs 22, 34 04,779 in the year 2017-2018.

In order to utilize services of men and machinery of the drilling division, various initiatives have been taken to bring all the rigs in working condition for the best achievement of drilling targets. In 2016, ‘Quarry Mining Project’ was initiated in village Zawoora, Pantha chowk over an area of 3.90 hectare. District Srinagar started the project for Quarrying building stones, the different grade of output from the crusher will be primarily used in the construction of National Highway and District road and also the material will be sold in the market for various civil works in and around Srinagar District. Therefore there is always a good demand for the mineral in the domestic market. As per the Government revenue records, the proposed production of Quarry building material is about 1, 50,000 metric tons per annum. The method of mining is ‘Open cast semi mechanized’ using rock breakers with need based drilling and controlled blasting.

Source: www.ceicdata.com – Indian Bureau of Mines

A distinguished economic analyst, Mr. Ejaz Ayoub believes that there is a tremendous potential as far as superficial knowledge of the mineral wealth of Jammu and Kashmir is concerned. For deeper exploration, it demands sizable investment in research and development with tie-ups with global excavation agencies. There is a wide unknown mineral space in this geography which can only be monetized if there is deep outcome-oriented research.

Recently, the government of J&K has welcomed many UAE based business groups for investing in real estate, infrastructure, horticulture and tourism. The trusted partnership of J&K- Dubai trade has set up an investment proposal worth Rs 45,000 Crore and Rs 18,300 crore exclusively in the real estate sector.  It will be a golden opportunity for the UT to provide construction materials like cement, bricks, limestone, gypsum, steel, marble for the infrastructure development and construction projects. The proposed deal will open extensive avenues for direct and indirect employment for the youth mainly inhabiting the remote areas of the territory. Hence, this tie-up can boost the metal and mining sector which has been witnessing sluggish growth from the past few decades.

The three major and exquisite minerals: 

Gypsum: It predominantly occupies the districts of Baramulla, Kathua, Ramban and Doda. It is used in cement, fertilizer, plaster of paris & sanitary ware. It is present in the mountains of Uri and Baramulla area of Kashmir in a stretch of about 40 km along the strike.

Limestone: The limestone reserves in J&K constitute 15% of the total reserves in India. It is found in the mountains of Khrew falling under district Pulwama and in Khanmoh area of Srinagar city. It is used in quicklime, bleaching- powder, glass, paper, paints and is the major raw material for cement industries of J&K.

Coal: The coal is extracted from the coal fields of Udhampur & Kalakot. It is used in manufacturing of battery covers and used as fuel. The steam coal is used in industries using boilers and holds its dominance in the cement industries. Coal is primarily a source of electricity generation in the union territory.

 Mineral map of Jammu and Kashmir

 

Recommendations:

  1. J&K has abundant mineral wealth but due to lack of exploration, delayed approvals, bad weather conditions, improper machinery and equipment the valley suffers from a static growth. Hence the Government needs to come up with solid and simplified policies to extract minerals and open employment opportunities for the youth.
  2. All the major and minor mines of the UT which fall outside the radius of 50 km of the eco-fragile zones should be allowed to operate while taking utmost care of the environment and natural wealth of the forests.
  3. The government should provide proper road connectivity for the safe and efficient transportation that will enhance the supply chain of minerals.
  4. There should be some incentives from the government to the lease holders for the purchase of heavy/light machinery components that are used for the extraction of varied minerals.
  5. The depressions of landforms formed by deep mining should be used for dumping industrial and municipal waste.
  6. During the lease period of 5 years, the project proponent is committed for plantation of 250 trees of local species in the quarry statutory area and some feasible location outside the quarry site which shall be developed as green belt with proper care and maintenance.

References:

http://geominjk.nic.in/

http://ecostatjk.nic.in/Economic%20Survey%202017.pdf

http://www.jkminerals.com/products.htm

https://ibm.gov.in/writereaddata/files/09232015122937Jammu%20and%20Kashmir.pdf

Madiha Trumboo

Madiha is pursuing B.A (Honours) in Economics from Aligarh Muslim University. She was a Team Leader and Coordinator of AESC, AMU Economics students’ club. Madiha has received a certification in Finance Modeling. She was a volunteer member of ARI Foundation Kashmir and has received soft skills training at Rubicon, supported by Barclays PLC UK.

Author

Madiha Trumboo

Madiha is pursuing B.A (Honours) in Economics from Aligarh Muslim University. She was a Team Leader and Coordinator of AESC, AMU Economics students’ club. Madiha has received a certification in Finance Modeling. She was a volunteer member of ARI Foundation Kashmir and has received soft skills training at Rubicon, supported by Barclays PLC UK.

More work by: Madiha Trumboo

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