A panel of former bureaucrats, academicians and social development organizations calls for strategic development of mining regions like Kalahandi to drive inclusive prosperity in Odisha
With 35% of India’s iron ore, 59% of bauxite, and vast coal reserves, Odisha stands as the backbone of India’s mineral security, powering infrastructure, energy, and defense.
Unlocking bauxite’s potential alone canempower over 10.000 SMEs, create 2.4 million jobs, and attract multi-billion-dollar investments to the state
Bhubaneswar, 16 May 2025: The mining sector, particularly bauxite, iron ore, and coal represent Odisha’s greatest strategic lever and can drive investments, employment, infrastructure, and global competitiveness. However, Odisha has only scratched the surface of its mineral potential with under-utilisation of minerals like bauxite, procedural bottlenecks, inter state wealth drainage, and past missed opportunities pointing to the need for bold and urgent reforms, said experts at the unveiling of a White Paper Mining Odisha’s Potential: Powering India’s Joumey to Atmanirbharta and Prosperity, Under the leadership of a promising development focused state government, which is building on Prime Minister Narendra Modi’s vision of 100% value addition as mentioned during his speech at Utkarsh Odisha conclave, the state today stands at an inflection point
“Odisha is at a now or never moment. It is about transformation and converting God-given resources into people-centred growth. We should ensure that the next generation of Odiyas inherit not just the legacy of rich soil, but the legacy of inclusive progress, world class institutions, and enduring prosperity. At this pivotal moment, the leadership of Hon’ble Chief Minister Mohan Charan Majhi offers a strong foundation to translate Odisha’s mineral strengths into inclusive industrialisation and regional upliftment,” said Dr Jayadev Sarangi, IAS (retd), while unveiling the White Paper prepared by AIDENT, An Initiative for Development & Empowerment.
The report proposes a phased roadmap for Odisha to transition from resource exporter to value creator. It recommends short-term regulatory reforms, mid term investment in mineral comidors and manufacturing clusters, and long-term positioning as a hub for green aluminium, steel, and critical minerals Odisha holds 35% of India’s iron ore, 59% of its bauxite, and significant reserves of coal chromite, and manganese, making it the backbone of India’s mineral security, essential for infrastructure, power, transportation, renewable energy, and defense. The Paper highlights. Odisha’s emergence as one of India’s fastest-growing regional economies, driven by a strong pivot towards mining and manufacturing. A key call to action, for instance, is the immediate opening of bauxite mining in regions like Kalahandi, which are rich in resources but still lag in inclusive development, to ensure that local communities fully participate in and benefit from the growth story.
Dr. Sarangi added, “Odisha’s mineral wealth is a national asset. However, unless we create strong forward linkages and inclusive development frameworks, we risk missing another generation of opportunity. This white paper provides a practical and timely blueprint for Odisha’s transition from a resource supplier to a value creator”
Dr. Jayadev Sarangi, IAS (Retd.), Former Secretary, Govt. of Delhi/Goa, Sanjeev K Singh, State Program Manager, AIDENT, Dr. Pravaa Ranjan Mishra, Founder, Kartabya, Centre for Social Innovation: Dr. Dukhabandhu Sahoo, Associate Prof. in Economics, IIT Bhubaneswar and Dr. Sipra Sagarika, Asst. Professor in Sociology, Fakir Mohan Universitywere present at the launch where they provided insights aligned on how Odisha is at a “now-or-never” inflection point to transform mining-led development into a sustainable model for industrial and social prosperity.
The report highlights that states like Gujarat and Maharashtra, despite having far fewer natural resources, have outpaced Odisha in industrial growth. While mining in Odisha has generated revenue and employment, the state has missed strategic opportunities due to execution delays, loss of economic sovereignty from exporting raw ore, local resistance, and infrastructure gaps. Currently, India imports bauxite from several African countries and China to meet its domestic demand, which increases its import bill and negatively impacts its economic efficiency. Industries that have invested in Odisha must be given priority access to its abundant mineral resources and should not rely on imports when the state is fully capable of meeting their needs. The report estimates that fully unlocking the bauxite’s potential alone could empower over 10,000 SMEs, create 2.4 million jobs, and attract multi-billion-dollar investments to the state.
The report underlines that Odisha doesn’t need more mineralsit needs smarter policies to convert those minerals into long-term prosperity. Despite contributing more than 80% of India’s merchandise exports in raw/semi-processed minerals, the state receives only a fraction of the value through royalties, missing out on taxation, employment, and reinvestment.
This is not just a policy document it’s a blueprint for generational change. If implemented, the recommendations in this paper can make Odisha the epicenter of india’s next industrial revolution while ensuring tribal communities, women and youth are central tothe prosperity it creates “said Mr Sanjeev K Singh, State Program Manager, AIDENT
The report also highlights the broader social impact of mining when coupled with community participation in districts like Rayagada and Kalahand, responsible mining operations have already triggered indirect employment for over 7,000 people and funded essential services through the $12,000plus crore DMF corpus. From residential schools, hospitals, roads and mobile health units to women’s SHG-led enterprises and scholarships for tribal youth, mining linked development has improved indicators such as school enrolment and maternal mortality. The whitepaper calls for institutionalizing such models across all mening districts to ensure mining translates into generational upliftment, not just GDP growth.
The Whitepaper comes at a critical moment when Odishu’s economy now recording a growth rate higher than the national average, and a development-focused government at the helm in the state with renewed policy push towards industrialisation, infrastructure creation, and manufacturing leadership.
AIDENT Social Welfare Organisation (ASWO) in a non-profit, non-partisan Indian NGO dedicated to promoting inclusivity and social well-being among marginalized communities. It focuses on areas such as education, health, livelihoods, water and sanitation, women’s empowerment, and the eradication of child labor, primarily across states like Delhi, Haryana, Punjab, Uttar Pradesh, Bihar, Jharkhand, and Odisha
