The Indian Parliament has passed the Mines and Minerals (Development and Regulation) Amendment Bill, 2025, introducing major reforms to boost transparency, production, and trade in critical minerals. The Bill, cleared by Lok Sabha on 12 August and Rajya Sabha on 19 August 2025, marks a significant step in strengthening India’s mining sector.
Key Reforms:
- Critical Minerals: Mining leaseholders can add strategic minerals like lithium, cobalt, nickel, gold, and silver without extra royalties.
- Exploration Trust Expansion: The National Mineral Exploration Trust is renamed and empowered to fund both exploration and development, including international projects.
- Captive Mines Reform: Removal of the 50% sale cap allows captive mines to sell all surplus production.
- Lease Extensions: One-time extensions permitted for deeper mineral extraction.
- Mineral Exchanges: Introduction of regulated electronic platforms to trade minerals transparently.
Why It Matters:
The reforms aim to strengthen India’s supply of critical minerals essential for electronics, energy, and aerospace, while also supporting the ₹34,000 crore National Critical Mineral Mission. By promoting transparency and efficient trade, the Bill is expected to reshape the mining landscape and advance India’s strategic economic interests.
