Centre to Launch Maiden Auction of Seven Limestone Blocks in Jammu Kashmir

   

SRINAGAR: The Union Government will on Monday launch the first-ever auction of limestone mineral blocks in Jammu and Kashmir, a move described by officials as a major push to revive the Union Territory’s mining sector and operationalise reforms introduced under the Mines and Minerals (Development and Regulation) Act in 2015. Union Minister G Kishan Reddy will lead the auction process, which opens with a roadshow in Jammu, while Chief Minister Omar Abdullah and Deputy Chief Minister Surinder Choudhary are scheduled to attend the event, signalling a strong Centre–State alignment behind the initiative.

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According to officials, seven limestone blocks spread over nearly 314 hectares have been identified across Anantnag, Rajouri and Poonch. Categorised under the G3 and G4 stages of the United Nations Framework Classification, these blocks contain deposits considered suitable for cement manufacturing, construction and related industries. This is also the first auction of any major mineral block in Jammu and Kashmir since the implementation of the 2015 reform regime, marking a shift toward transparency, competitiveness and sustainable extraction.

The auction will be held under subsections (4) and (5) of Section 11 of the MMDR Act, which enable the Centre to conduct bidding in cases where a state or Union Territory administration is unable to proceed for procedural reasons. Officials said the arrangement reflects cooperative federalism and ensures continuity of reforms even in the face of administrative bottlenecks. The Ministry of Mines has framed a technology-driven mechanism for the process, promising transparency and adherence to national environmental norms. The initiative, the official added, is expected to support job creation, revenue generation and wider industrial activity in line with the government’s Viksit Bharat 2047 vision.

The broader mining landscape in Jammu and Kashmir, however, remains under stress. Revenues from major and minor minerals slipped from Rs 175.3 crore in 2023–24 to Rs 128 crore in 2024–25, and by August of 2025–26 collections stood at only Rs 49.52 crore. Officials attributed the drop to an absence of new auctions during the period and the financial distress of Jammu and Kashmir Minerals Ltd, which remains in the red. Several clusters, particularly in Anantnag, Pulwama, Srinagar and Baramulla, have been held back by environmental objections raised by the Forest and Wildlife Departments and complications arising from limestone deposits exceeding permissible chemical limits.

Earlier in October, Chief Secretary Atal Dulloo chaired a detailed review of the Mining Department with a particular focus on the Integrated Mining Surveillance System, a platform designed for real-time monitoring of extraction and transport across the Union Territory. He underlined the need for strict follow-up on every alert generated by the system and directed departments to fix accountability in cases of inaction. He also instructed that Deputy Commissioners be given full access to the platform so they can respond promptly to illegal mining within their jurisdictions. The Chief Secretary appreciated the system’s ability to locate and trace illegal extraction with precision and asked the department to provide him with regular performance reports.

During the review, the Pollution Control Committee was asked to prepare a single, consolidated checklist of clearances to prevent piecemeal processing and long delays in operationalising mineral blocks. Officials informed that Jammu and Kashmir has forty-eight limestone blocks and 235 minor mineral blocks, out of which 207 have been leased and ninety-eight are currently operational, with potential revenue realisation estimated at about Rs 220 crore. Seventy-nine blocks are awaiting environmental clearance, thirty are at the Consent to Operate stage and 132 have been sent to Deputy Commissioners for NoCs under the single-window system.

The department also reported ongoing exploration of lithium, sapphire, lignite, granite, dolomite, graphite and gypsum across multiple districts. To strengthen field-level enforcement, multi-nodal Quick Response Teams have been established under District Mineral Officers, and district-level control rooms under the District Mineral Foundation Trust have been operationalised to support coordinated surveillance.

The launch of the limestone auction, officials said, is expected to set the direction for clearing regulatory backlogs, bringing stalled clusters into circulation and reversing the slide in mineral revenue that has defined the past two financial years.

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