Mining closure has affected between 40% to 90% households in the mining areas along with loss to economy
Mining had been a major economic activity contributing over 20% of GSDP to the State’s economy in the recent past
Pre-shutdown of Mining: In last 3 years of mining operations before mining was halted, the State Government collected Rs 597.21 Crores Mineral Royalty
Indian Institute of Technology- Indian School of Mines, Dhanbad had carried out a study on the Impacts of Stoppage of Mining in Goa on Socio – Economics. The IIT-ISM have requested for immediate intervention of the union government in Goa Mining matter to protect mining-dependent livelihoods in the state by resumption of sustainable mining operations in the state.
In a recent study, IIT-ISM Dhanbad documented the social and economic impact of the ban on iron ore mining in the state with effect since 16th March 2018 as result of a direct order of Supreme Court of India on 7th February 2018. The ban halted all mining activities and the study found that it adversely affected the economic stability substantially in the mining areas. For these households, mining had been the major source of income and the economic activity contributed to over 20% of GSDP to the State in the recent past.
Mining had been a major economic activity and stable source of income in the region as it accounted for the livelihood of over 60,000 families. More than 25% of the state population was directly or indirectly dependent on mining for their survival. Since mining in Goa is predominantly export based it had also been making significant contributions to the forex reserves of the country.
Over the last decade, Goa’s Mining industry contributed over USD 13bn to the country’s forex reserves. The State Government collected Rs 43.11 Crores in Mineral Royalty in FY 2015-16. The same increased to Rs.314.5 Crores and Rs.239.6 Crores in the FY 2016-17 and 2017-18 respectively. However, in its absence, the state’s debt has been ballooning, it recorded the steepest increase between 2013 to 2020, the period when mining was partially or fully suspended, demonstrating the highly adverse impact on the State’s finances due to mining stoppage. Constant rising State Debt is also a high concern for the state deteriorating state’s economic Health.