December 04, 2008

Australia looks forward to reforms in India’s mining sector

Mr John McCarthy Australian High Commissioner to India, while addressing at Global Steel 2007, said that Australia is looking forward to reforms in India’s mining sector. He said that “Australia has been actively encouraging reform of the sector and we look forward to the recommendations of the Hoda Committee report into the reform of India’s mining regime being implemented.”

Calling for increased Indo Australian co operation in the Indian resources sector, Mr McCarthy lamented the paucity of FDI in the mining sector despite the introduction of a more liberalized FDI regime.

Mr McCarthy, however, added that “India must determine its own development path, including with regard to the development of its steel industry. Australia’s experience is that a liberal and internationally competitive mining regime operating under clear and transparent regulation works for the host country. It can be a huge stimulant to national prosperity. But it is up to you.”

Speaking on the occasion, Mr Ian Macdonald minister for mineral resources of New South Wales said that several Australian companies were interested in providing technology to Indian companies operating in the mining sector. He added that some Australian companies were also keen to partner their Indian counterparts for taking up joint R&D projects in the mining sector.