Andhra Pradesh government announced withdrawal of bauxite mining order in the Eastern Ghats

Andhra Pradesh government has decided to cancel permission given to a state run company to mine bauxite in the tribal areas of Eastern Ghats. Andhra Pradesh with 600 million tonnes or nearly 22%, of India’s bauxite reserves, has the second largest bauxite reserve after Odisha.

Chief Minister YS Jagan Mohan Reddy announced the withdrawal of the mining order on Tuesday, June 25, issued by the previous N Chandrababu Naidu government in November 2015. Reddy announced the decision against bauxite mining at a two-day conference of district collectors and top police officials in Vijayawada. The previous order allowed AP Mineral Development Corporation mining rights in 1,212 hectares of lands in Visakhapatnam district.

“There is no point in bauxite mining when the local tribals are opposing it. The state government is not going to lose much by giving up on bauxite mining. Peace is more important and we should see that locals don’t turn Maoists,” he said.

Naidu’s government had annulled bauxite supply agreements with Jindal South West Aluminium and the Indo-UAE joint venture of Anrak Aluminium. It was signed by the previous CM YS Rajasekhara Reddy.

The bauxite reserves in Andhra Pradesh fall under the notified tribal and forest areas and have been witnessing violent protests by the locals against mining with the left extremists adding fuel to it. A number of political leaders were killed by the Naxals who have been backing the movements against bauxite mining in the Eastern Ghats.

AP is estimated to have 600 million tonnes, or nearly 22%, of India’s bauxite reserves, second only to neighbouring Odisha that has more than 2,000 million tonnes. The Eastern Ghats is considered as one of the world’s biggest bauxite reserves. The ban has literally sealed the prospect of developing a profitable alumina/ aluminium industry in the state.