Presentation by FIGSI President S Krishna Prasad at workshop organised by the Ministry of Mines

I would like to give a brief introduction about Federation of Indian Granite and Stone Industry (FIGSI) on this occasion. Federation of Indian Granite and Stone Industry (FIGSI) is a non-profit all India organization serving the natural stone industry of India from the last 40 years and having 1450 members across the country.

The Federation works as a bridge between the Industry and Various Government Departments in Central and State level. Federation conducts international stone fair popularly known as STONA which is well recognized all over the world and it is 4th largest stone fair in the world.

This Fair is organized to help the industry to increase the trade opportunities in India and abroad The next international granite and stone fair – STONA 2025 will be held from 12th to 15th February 2025 at Bangalore International Exhibition Centre (BIEC).

Apart from this FIGSI has started two skill centers, one at Hosur in South India and one at Jaipur to cater to the West and North part of India to train and provide skilled manpower to the Industry.

1. Requirements and support from the Ministry of Mines for the growth of granite industry

1. For all existing and new leases of granite, sufficient area for dumping of waste within radial distance of 3km in non-mineralized area to be permitted in terms of section 2(j) (x) and (xi) of the Mines Act, 1952
2. Fixation of uniform rate of royalty on tonnage basis depending upon the sizes viz., larger blocks, smaller blocks and granite waste.
3. In the interest of mineral development and to promote systematic and scientific quarrying, if granite mineral deposits found in the Revenue Land in the middle and adjacent of the lease area, such granite mineral deposited area in Revenue Land may be allotted to the lessee and grant granite quarry leases through non auction route.
4. Though granite is classified as Minor Mineral, considering its Export significant contribution, granite quarries may be brought under the exclusive contour and dominion of the Union Government:

a) The export of granite growth will increase Rs.25,000 crores in near future.

b) Increase in economic activities

c) Increase in employment in skilled, semi-skilled and Rural work forces.

2. Approval of Mining Plan, Mining Scheme of Granite quarries by the Indian Bureau of Mines (IBM)

1. Central Government framed Rules for conservation, systematic and scientific development of granite resources throughout the Country.
2. It is settled law that a delegated authority cannot sub-delegate unless delegate has been specifically permitted to do so under the mother legislation.
3. In ground realities various State Governments follow pick and choose procedures as they like depending upon their own customs and practice in letter and spirit as contemplated in the GCDR, 1999.
4. Hence, we request that Approval of Mining Plan, Mining Scheme, delay in submission of Mining Scheme for granite quarries may kindly be dealt by the (IBM).

3. Granite deposit - Bench Cutting:

1. It is a fact that granite deposits are naturally formed in hard and compact homogenous rock formation. Granite deposit cannot be equated at par with other deposits viz., coal, iron, magnesite, limestone and etc.
2. The Officials of Directorate General of Mines Safety insist that the bench height shall not exceed six meters and width shall not be less than six meters.
3. Whereas, Metalliferous Mines Regulations 1961, Regulation 106 (3) provides that “ In an excavation in any hard and compact ground or in prospecting trenches or pits, the sides shall be adequately benched, slopped or secured so as to prevent danger from fall of sides”.
4. Modern mining equipment like Crawler Crane which is capable of lifting granite blocks up to thirty (30) meters are being used. Latest sophisticated wire-saw technology are being used for dislodging from parent rock.
5. Hence, under Regulation 106 (3), the bench height may be increased up to ten (10) meters and width of one (1) meter in final pit wall.

4. Granite quarries – Request to issue Environmental Clearance for total volume of excavation quantity viz., ROM (Run of Mine)

1. Several Representations have been received from the aggrieved granite quarrying lessees representing that instead of issuing Environmental Clearance for total excavation of granite Run of Mine (ROM), the concerned State Environment Impact Assessment Authority (SEIAA) issued Environmental Clearance for Recovery Percentage which caused impediments and hardship that whenever Recovery Percentage varies on account of the percentage of recovery of granite depends on the natural defects such as size, shape, color and spacing of cracks/joints within the leased area.
2. In case the recovery percentage increase, the lessees are compelled to knock the door of the State Environment Impact Assessment Authority (SEIAA) and thereby the operations of granite quarrying is being compelled to stop and thereby rural employment and huge investment made in the development of granite quarry being kept idle unproductively and brought them as violators.
3. Environmental Clearance have a direct impact over the winning of entire ROM quantity in granite quarries and at any point of time Environmental Clearance does not have any relationship with recovery of granite.

5. Alleged offence under MMDR act being treated as IPC offence.

There are all provisions for penalty and conviction in the Act for alleged MMDR offences. But, nowadays IPC offences are being slapped on the violators of the act. This has made entrepreneurs and next generation youngsters to opt out of this field.

6. Mining Zones

To be declared where there are a cluster of quarries in a particular area to deal with common issues like waste dumping, ease of monitoring movement of minerals, etc.

7. Recovery Percentage

Since Granite, Marble, Sandstone etc are Decorative stone, these can be sold only as per market preference., hence, the sale of a particular colour of stone from a particular quarry should only be the parameter to calculate the recovery. The practice of mentioning a particular percentage of recovery in the mining plan should be done away with as sale of a particular colour of material cannot be guaranteed and is as per the changing likes of the market (colour, size, strength, appeal, availability all determine the market).

8. Environment Clearance Federation of Indian Granite and Stone Industry 10

1. For lease area less than 5 Hectares: We request that Environment clearance for less than 5 Hectares mining for Granite and other natural stones can be excluded, since the supreme court judgement is mainly for the sand mining, whereas natural stones mining is not a subject of discussion in the Hon’ble Supreme Court, vide judgment in Deepak Kumar Vs State of Haryana & Ors. (2012) 4 SCC 629 order.
2. "As per MoEF&CC Office memorandum dated 28 April 2023, all the quarries which have obtained the EC from district level environment impact assessment authorities, further need to obtain the EC from respective state level environment impact assessment authorities, within one year, which has been extended until 27 Oct 2024. This not only adds additional burden on the quarry owners but also a time-consuming process. This issue may please be taken-up with MoEF&CC"

9. Issues brought out by Telangana and AP

1. High Taxation, Royalty, Seigniorage, Dead rents etc
2. Consent for Establishment (CFE) and Consent for Operation (CFO) fees on area and production
3. Renewal / Auction Policy at additional Premium Price
4. Enforcement of Production Percentage condition??
5. Cluster issue for 25 Hectares scenario and adjoining 5 hectares, causing problems even for volume enhancements
6. Additional consideration fees charged on Seigniorage fees
7. Collection of additional dead rent at 3 times on existing ADR to confiscate against failure to meet mining production.

Conclusion

All the above issues pertaining mainly to the mines department of various states and some of them pertaining to environment department and mines safety department, have to be resolved keeping in mind that these rules and regulations are practically impossible to follow and severally affected the working and growth of the industry.

We also suggest to use hybrid type of meetings to ensure participation at short notice and to deliberate important issues. As many times it is very challenging to be physically available for the meetings.

The Union and state governments are working on ease of doing business for all the sectors and the natural stone industry also needs same kind of support.

Further we request for resolving these issues at the earliest to enable and support the granite and marble industry to develop and grow.