TopicGroup 1

Resource base of the economy-land,forest,water,fisheries,minral-economic and business development ad environmental issues

Introduction

Meaning of business environment

Natural resources and economic development

Principles of resource development

Land

The total geographical area of India is 329 million hectares

India is agriculture based country 60.53% of total land is used for agriculture Irrigated land is only 34% Non agriculture land such as road,railways required

for good infrastructure of country

Current issues who affect land economy of India

Multi crore land scam in Andhra pradesh Land scam in Maharashtra Land scam in Karnataka

FOREST

Covers 22% of the total geographical area Helps to control floods Supply timber,fuel,woods etc. India is raked first among woods Contributes 1.7% to GDP Government have allocated 2430 crore in financial

budget 2012 India’s forest are in serious decline

Forest policy,1988

Role of tribal in forests recognized Depletion of forest area and the target for green

cover Discouragement to forest-based industries End the system of private forest contractors Forest land not to be diverted to non-forest uses

How Do Forests Contribute to Indiana’s Economy

Timber harvesting Tourism Wood energy Wood supply

Fisheries

India is the third largest producer of fish in the world

Generate employment for a large coastal population

Fisheries contribute about 1.07% of India’s GDP It is estimated that about fourteen million people

are employed in the fisheries sector

Issues which can affect future of Indian fisheries

Development of new technologies Changes in fish species and product forms Prices and margins throughout the fisheries value

chain Concern about overexploitation of certain fish

stocks Climate change, carbon emissions and their impacts

on the fisheries sector

Market situation

The seafood sector expanded in 2010 and early 2011 Consumer demand has been particularly strong in

developing countries Fish prices have been on the rise in domestic

markets as well as in export markets IN 2009, total fish production reached a record 145

Mt

Water resources

Water is life India is one of the wettest countries in the world Provides electricity Life blood for agriculture Rivers are increasingly getting polluted

India’s water economy: bracing for a turbulent future-

world bank India's current water condition is creating financial

gap Stimulating competition in and market for irrigation Ending the culture and making transparency the rule Putting the sector on a sound financial footing

Making the environment a high priority

Current issues

Plastic anti-erosion technology to be implemented in Assam

Water a cause for war in coming decades: US Intel

Minerals

Mineral resources play a major role in the industrial growth of a nation.

Coal and iron, for instance, are the basic minerals needed for the growth of iron and steel industry.

minerals like mica and manganese, copper, lead and zinc, which are of economic importance.

Supply electricity.

The Government of India amended the Mines and Minerals(regulated and Development) Act, 1957 in January 1994 and announced a new mineral policy: •Throwing open the mining sector to the private sector including foreign direct investment.

•Empowering the states to grant prospecting licenses without prior approval of the central Government.

•Removing the restrictions on equity holding by foreignnationals in a mining company.

OBJECTIVES OF THE NEW MINERAL POLICY

Explore for identification of mineral wealth on land and offshore.

Promote foreign trade in minerals Promote research and development in minerals Minimize adverse effects of mineral development

through appropriate protective measures.

The Mines (Amendment) Bill, 2011(Pending )

The Bill aims to secure a safe environment to miners in light of the new technologies used in mines .

The Bill amends the definition of owner. In case the mine belongs to a local authority, the person

having ultimate control over the local authority shall be the owner.

The Bill makes it mandatory for the owner to appoint the prescribed number of qualified officials.

The Bill increases the penalty payable for contravention of the law.

EFFECT OF BUDGET 2012 ON MINERAL RESOURCE & MINING

Proposed reducing basic customs duty on machinery and instruments for surveying and prospecting from 10 % or 7.5 % to 2.5 %

In addition, full exemption from basic customs duty is being provided to coal mining projects.

Iron ore projects exempted from basic customs duty.

Current issues which can affect mining industry

Central coal mining scam. Goa mining scam.

Economic development and environmental issues

Deforestation Industrialization Population growth Soil erosion

The role of government in environmental decision making Direct investment Awareness creation both within the government and

among communities Participation of local communities in the decision

making

Role of individual in conservation of natural resources

Conservation of energy Conservation of water Conservation of soil Conservation of food resources Conservation of forest

Conclusion

Thank you