'85% of auctioned mining blocks still idle in India': Vedanta's Anil Agarwal lists big challenges
At a time of global uncertainty, he emphasised that “energy and mineral security are a strategic imperative” and called for faster execution after auctions.
- Mar 20, 2026,
- Updated Mar 20, 2026 7:25 PM IST
Billionaire industrialist Anil Agarwal has flagged major concerns over India’s mining sector, revealing that a large majority of auctioned blocks remain non-operational.
“Did you know that 85% of the mining blocks auctioned in the last ten years are not operational? Only 82 out of 592 are producing output,” Agarwal said in a post on X, highlighting the gap between auctions and actual production.
He pointed out that the issue has broader economic implications, noting that “50% of our total import bill worth $400 billion is on account of resources from below the ground. This creates jobs in other countries. We should create them here.”
According to Agarwal, three major bottlenecks are preventing mines from becoming "operational difficulty in land acquisition, lack of approvals, including environment and forest clearances, and extraordinary premiums paid for some mines, which make them commercially unviable.”
At a time of global uncertainty, he emphasised that “energy and mineral security are a strategic imperative” and called for faster execution after auctions.
He suggested leveraging technology to streamline land acquisition, stating that “payment can be transferred to landowners directly at an appropriate price. Today is the time of digital, so let’s use that.”
Agarwal also pushed for regulatory reforms, including reducing procedural hurdles. “Approvals must move to self-certification and trust-based regulation,” he said, while recommending that auction premiums be capped to ensure viability.
Highlighting the sector’s long-term potential, he said, “India has all the potential to be a global hub for minerals, metals and hydrocarbons.” He added that the industry could act as a catalyst for employment generation, “especially for women.”
Calling it a critical moment for the country, Agarwal urged stakeholders to act decisively, saying, “This is India’s best time and opportunity… let’s come together to build an Atmanirbhar Bharat.”
Billionaire industrialist Anil Agarwal has flagged major concerns over India’s mining sector, revealing that a large majority of auctioned blocks remain non-operational.
“Did you know that 85% of the mining blocks auctioned in the last ten years are not operational? Only 82 out of 592 are producing output,” Agarwal said in a post on X, highlighting the gap between auctions and actual production.
He pointed out that the issue has broader economic implications, noting that “50% of our total import bill worth $400 billion is on account of resources from below the ground. This creates jobs in other countries. We should create them here.”
According to Agarwal, three major bottlenecks are preventing mines from becoming "operational difficulty in land acquisition, lack of approvals, including environment and forest clearances, and extraordinary premiums paid for some mines, which make them commercially unviable.”
At a time of global uncertainty, he emphasised that “energy and mineral security are a strategic imperative” and called for faster execution after auctions.
He suggested leveraging technology to streamline land acquisition, stating that “payment can be transferred to landowners directly at an appropriate price. Today is the time of digital, so let’s use that.”
Agarwal also pushed for regulatory reforms, including reducing procedural hurdles. “Approvals must move to self-certification and trust-based regulation,” he said, while recommending that auction premiums be capped to ensure viability.
Highlighting the sector’s long-term potential, he said, “India has all the potential to be a global hub for minerals, metals and hydrocarbons.” He added that the industry could act as a catalyst for employment generation, “especially for women.”
Calling it a critical moment for the country, Agarwal urged stakeholders to act decisively, saying, “This is India’s best time and opportunity… let’s come together to build an Atmanirbhar Bharat.”