Market Overview

Rajasthan is a mineral rich state and blessed with 79 varieties of minerals, of which 58 are being commercially exploited.

State has virtual monopoly in the production of major minerals like Wollastonite, Lead-Zinc, Calcite, Gypsum, Rock phosphate, Ochre, Silver and minor minerals like Marble, Sandstone and Serpentine (Green Marble) etc., which contribute almost 90% to 100% of national production.

Huge reserves of Lignite (4986 million tonnes), Crude oil (480 million tonnes), Heavy oil (14.60 million tonnes), Bitumen (33.20 million tonnes), Lean gas (11790 million cubic meters) and High quality gas (3000 million cubic meters) further adds to its mineral strength. The State contributes significantly in the national production of Lead and Zinc (100%) and Copper (47.76%).

Mining is not only a major source of employment in rural and tribal areas of the State, but also a major source of revenue and plays an important role in the development of the State.

Key Products/Products:

• Petroleum & Gas
• Limestone (Cement Grade)
• Limestone (SMS Grade)
• Base Metals and Noble Metals: Lead-Zinc, Copper, Silver and Gold, Iron and Manganese
• Quartz and Feldspar (Ceramic Minerals)
• Fertilizer Minerals: Gypsum, Rock Phosphate, Potash
• Quartz and Feldspar (Ceramic Minerals)
• Precious and Semi Precious Stones
• Dimensional Stones: Marble, Granite, Sandstone, Kota Stone (Lime Stone Splittable), Masonary Stone

• Ceramic & Glass Zone Proposed at Ghilot, Alwar
• Gas Grid and City Gas Distribution Projects
• Supply Chain and Marketing Network of Petroleum Products
• Feed-stock for Thermal power plants
• Fertilizer, Petro-chemical Hub  
• Refinery and fuel for Automotives and Industries
• Lignite based, Atomic and Hydel power plants
• Value-added development of precious and semi-precious stones

Key Segments/Segments:

• Ceramic & Glass Zone Proposed at Ghilot, Alwar
• Gas Grid and City Gas Distribution Projects
• Supply Chain and Marketing Network of Petroleum Products
  
• Feed-stock for Thermal power plants
• Fertilizer, Petro-chemical Hub  
  
• Refinery and fuel for Automotives and Industries
• Lignite based, Atomic and Hydel power plants
• Value-added development of precious and semi-precious stones

Key Players

• Cement:

• Mining:

• Marble:
  
  
  
• Steel:
  

Policy/ Incentives/ Govt. Initiatives

Rajasthan Mineral Policy, 2011
To promote proper use of huge mineral resources of the State and for sustainable economic developme

For details please see: Rajasthan Mineral Policy 2011

Opportunities

Looking to the availability of Minerals in the State, there is tremendous scope for setting up of new mineral based industries. Various minerals mined in Rajasthan are being sent to other states in raw form. The State is therefore, deprived of the value addition in minerals as well as employment avenues to rural and backward classes. The endeavor therefore would be to encourage the establishment of mineral based industries in the State. Some of the industries which may come up in the state are given below:

S.No.	Mineral/ Metal	Industries
1.	Copper	Wire drawing and Foundry
2.	Lead	White lead & Chrome lead, Storage batteries
3.	Zinc	Zinc Oxide, Zinc Sulphate
4.	Cement grade Limestone	Cement
5.	Chemical grade Limestone	Calcium ammonium nitrate, Calcium carbide, Precipitated calcium carbonate, Hydrated lime
6.	Rock Phosphate	Single super phosphate, Triple super phosphate, Di ammonium phosphate, Phosphoric acid
7.	China Clay	Ceramics
8.	Ball Clay	Ceramics
9.	Fire clay	Refractories
10.	Calcite	Glazed Tiles
11.	Quartz and Silica	Boilers & Glass lumps and Fluorescent tubes
12.	Bentonite & Fullers Earth	Pulverising units, Earth activation units
13.	Soapstone	Insecticides, Cosmetics, Micronizing units
14.	Gypsum	Plaster of Paris, Gypsum Board
15.	Fluorspar	Cryolite, Hydro fluoric acid
16.	Garnet	Abrasive, Cutting & Polishing
17.	Lignite	Briquetting, Liquid lignite, Power plants
18.	Potash	Murates of Potash
19.	Granite	Processing units
20.	Marble	Processing units

Advantages / Strengths

• PETROLEUM & GAS: The Crude Oil & Natural gas resources tapped during 1999-2008 in Barmer-Sanchore Basin and high quality Gas discovery in Jaisalmer Basin have put Rajasthan on the Oil Map of the World. Policy of Liberalization was announced in 1991 by Government of India and accordingly Petroleum Sector was opened up for private participation.
• LIGNITE: Rajasthan has about 4986 million tones deposits of lignite out of 37,460 million tones of proven reserves in the country. The State shares 13% of the country's total resource and is ranked second. Varied opportunities exist in UCG, CBM and Lignite vis-vis oil exploitation and power generation.
• LIMESTONE (CEMENT GRADE): Limestone produced in the state is used in cement manufacturing, in chemical industries and for lime burning. SMS grade lime stone is also produced in the State which is used in the steel plants. Limestone is available in almost all parts of the State.
  
• LIMESTONE (SMS GRADE): 900 million tonnes of SMS grade limestone and high grade limestone reserves have been proved in parts of Jaisalamer, Nagaur, Jodhpur and Pali districts. SMS grade limestone is used as flux in steel plants. It co-exists with cement grade and chemical grade.
  

BASE METALS AND NOBLE METALS

• LEAD-ZINC, COPPER: The State contributes significantly in the national production of Lead and Zinc (100%) and Copper (47.76%). The important Copper deposits are located at Khetri in North Delhi Fold Belt, which is a 80 km. long belt. The South Delhi Fold Belt, which includes Aguchua (Bhilwara), Rajpura - Dariba (Rajsamand) and Zawar (Udaipur), is known for Lead and Zinc deposits. Besides, Deri-Basantgarh in Sirohi district, Srinagar in Ajmer district, Kho-Dariba in Alwar district and Khan-Khera in Bharatpur district are other important known base metal deposits.
• SILVER AND GOLD: Gold deposits are found in Banswara and Dausa districts. Silver accounts for 80.84% of the total country's reserves and is recovered during the smelting process of base metals.
• IRON AND MANGNESE: Allotment of prospecting/mining lease for Iron and Manganese will be given to the agency which makes a firm commitment to set up a steel plant in Rajasthan.
• QUARTZ AND FELDSPAR (CERAMIC MINERALS): Quartz and Feldspar deposits are found mainly in more than 200 km long belt extending from Rajsamand in Southwest to Tonk in Northeast through Bhilwara and Ajmer. They are also found extensively in the districts of Jaipur, Sikar, Jhunjhunu, Udaipur, Pali and Sirohi. Rajasthan is the main producer of Quartz and Feldspar along with other ceramic minerals like Clays and Wollastonite. There is huge potential for setting up of ceramic units, specially the vitrified ceramic tiles, which are in increasing demand presently.

FERTILIZER MINERALS:

• GYPSUM: Gypsum deposits are available in the western part of the state which account for 81.39% of total country's reserves. State is the principal producer of Gypsum, accounting for 98.81% of the total country's production. Cement and fertilizers are the two major industries in which Gypsum finds its use. Apart from this it is also used in manufacturing of plaster of paris, partition blocks, sheets and tiles, insulation board, pharmaceuticals, textiles, paint, paper etc.
• ROCK PHOSPHATE: The state accounts for about 94.08% of the country's total production of Rock Phosphate. Its important deposits are located at Jhamar-Kotra, Kanpur, Bargaun, Dakan-Kotra etc., in Udaipur district and Birmania in Jaisalmer district.
• POTASH: Geological Survey of India (GSI) has identified the deep seated vast reserves of Potash mineralization in Nagaur-Ganganagar basin of Rajasthan, over an area of 30,000 sq km. Since there is no commercial production of Potash in the country, India meets its entire requirement through import. Thus there exists huge investment opportunities for Potash exploration and mining in the State.
• PRECIOUS AND SEMI PRECIOUS STONES: Rajasthan is a store house of many precious and semi precious stones. The most important are Emerald, Aquamarine, Heliodor, Corundum, Diamond, Epidote, Topaz, Tourmaline, Amethyst crystal Quartz, Garnet and green & blue Quartzite.
• DIMENSIONAL STONES: The State is well known for its richness and varieties of dimensional and decorative stones such as Marble, Granite, Sandstone, Kota stone (Limestone splittable), Slate/Schist stone etc. The white marble of Makrana and Rajsamand, pink Marble of Udaipur and Banswara, green Marble of Udaipur and Dungarpur, yellow Marble of Jaisalmer, pink Granite of Jalore, cherry red Granite of Jaisalmer, greenish-grey Granite of Barmer, red and buff coloured Sandstone of Jodhpur, Bharatpur, Dholpur, red and grey Sandstone of Bundi and Bijolia (Bhilwara), flaggy Limestone of Kota, Nimbahera and Chittorgarh, have earned international repute. Besides Makrana and Rajsamand, sizeable resources of different kinds of Marble are found in Sirohi, Banswara, Ajmer, Chittorgarh, Dungarpur, Jaipur, Jodhpur and Alwar districts. There is a good export market of dimensional and decorative stones all over the world especially of the green Marble, wood textured Marble of Churu, Sandstone, Slatestone, Kota stone and Granite produced from Rajasthan.
• MARBLE: Marble reserves of different varieties to the tune of 1122 million tones are proved and available in various parts of the State. State accounts for more than 90% of national production of Marble.
• GRANITE: Granite reserves of different varieties to the tune of 8525 million tones which accounts for 22.77% of National Resources are proved and available mostly in the western part of the State.
• SANDSTONE: Huge deposits of Sandstone in Rajasthan are exposed over an area of nearly 35,000 sq km, covering districts of Dholpur, Bharatpur, Karauli, Sawai Madhopur, Tonk, Bundi, Jhalawar, Kota, Bhilwara, Jodhpur, Naguar, Churu, Bikaner and Chittaurgarh. Sandstone finds its use in roofing, flooring and cladding in rural as well as in urban areas. It is also exported to various countries in huge quantities for multiple uses.
• KOTA STONE (LIME STONE SPLITTABLE): The State is endowed richly with the occurrence of Kota Stone (Limestone splittable) of greenish-grey colour. It has gained tremendous popularity worldwide and widely used for flooring and cladding purposes. It is available in Ramganjmandi area of Kota and Jhalawar district.
• MASONARY STONE: Masonary stone is widely used in construction activities as main raw material. . It is available in almost all the parts of the State.  Masonary stone contributes about 40% of total minor mineral leases granted in the state. Most of the lessees are from rural areas.
  
  

Data Source: Rajasthan Mineral Policy - 2011

Last Updated: October 10, 2011