India’s mining sector achieved record production in FY25, marking a major milestone for the industry. The country’s mineral output reached unprecedented levels, driven by robust demand across key sectors like steel, energy, infrastructure, and construction. The increased production levels highlight India’s growing role in global mineral supply chains, particularly in iron ore, manganese, bauxite, and non-ferrous metals like aluminium and copper.

Iron Ore: Driving Steel Industry Growth

The production of iron ore, which represents 70% of the total MCDR mineral production by value, reached 289 million metric tons (MMT) in FY25, a 4.3% increase from the previous record of 277 MMT in FY24. This surge in production is driven by the continued demand for iron ore from the steel industry, as India’s steel production grows in line with the country’s infrastructure and construction development. As the fourth-largest iron ore producer globally, India’s consistent growth in iron ore production plays a vital role in the global steel supply chain.

Manganese Ore: Record Growth

Manganese ore production also saw significant growth, with an 11.8% increase to 3.8 MMT in FY25, surpassing the previous record set in FY24. Manganese is a critical element used in the production of steel and other alloys, and its increased production reflects strong demand in steelmaking and battery production, as India’s automotive sector and renewable energy industries expand.

Bauxite and Lead Concentrate: Steady Increases

India’s bauxite production rose by 2.9% to 24.7 MMT in FY25, supporting its position as a major producer of aluminium. The country’s primary aluminium production broke records, rising from 41.6 lakh tonnes in FY24 to 42 lakh tonnes in FY25. This boost in aluminium production complements the growing demand in construction, automotive, and electrical sectors, as aluminium is increasingly used in infrastructure projects, vehicles, and machinery.

Similarly, lead concentrate production saw an increase of 3.1%, rising to 393 thousand tonnes. This is indicative of growing demand for lead, especially in the battery and automotive industries.

Non-Ferrous Metals: Aluminium and Copper

India continues to be a dominant player in the non-ferrous metals market. Primary aluminium production rose by 0.4 lakh tonnes to reach 42 lakh tonnes in FY25. As the second-largest aluminium producer globally, India’s continued growth in aluminium production is a direct response to the expanding infrastructure and energy sectors.

Additionally, refined copper production grew by 12.6%, reaching 5.73 lakh tonnes in FY25, up from 5.09 lakh tonnes in FY24. Copper plays a critical role in the electrical and electronics industries, and this growth reflects rising demand for copper in the energy and renewable energy sectors.

Global Positioning and Industry Outlook

India’s mining sector’s impressive growth underscores its global standing in the minerals industry. As the second-largest aluminium producer and the fourth-largest iron ore producer, India plays an important role in meeting global mineral demand. The growth in these industries indicates a healthy pipeline for key sectors, including construction, automotive, infrastructure, and machinery.

The increased production levels also reflect strong economic activity in these user sectors, suggesting that India’s mining sector is well-positioned to support the country’s sustained growth trajectory in the coming years. With increased demand for sustainable minerals such as aluminium and copper, India’s position as a major global supplier of these materials is further solidified.

Key Takeaways

• India’s mining sector achieved record production in FY25, with key minerals like iron ore, manganese, and bauxite showing strong growth.

• Non-ferrous metal production also saw significant increases, including aluminium and copper, driven by rising demand from construction, energy, and automotive industries.

• As the second-largest aluminium producer and fourth-largest iron ore producer globally, India continues to play a vital role in the global mining and mineral markets.

Conclusion

India’s mining sector has demonstrated its strength with record production levels in FY25, driven by an increased demand for key minerals and metals. This growth reflects the country’s economic resilience and its importance in global supply chains for iron ore, manganese, bauxite, aluminium, and copper. The mining sector’s performance is a critical component of India’s industrial expansion, particularly in steel, construction, and renewable energy industries. As India continues to meet the rising demand for minerals, its mining sector is poised to remain a cornerstone of the country’s economic development.

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