National Mineral Policy will unlock the mining businessThe mineral-producing states have raised the ante against the National Mineral Policy 2008, tabled in Parliament recently. Their grouse is that it intrudes into their rights over the minerals produced in their respective states and is tilted in favour of foreign mining companies looking for a piece of action in India. The second part of the argument is inward looking and xenophobic. Possibly, Orissa chief minister Naveen Patnaik, who is leading the campaign on behalf of the mineral-rich states, knows best how political passions fanned on these lines can turn out to be counterproductive. In his state, the opposition has targeted the Posco project for being given rights which any company - foreign or Indian - would demand if it is to do business in India. The policy was approved by the Union cabinet after a high-level committee effected several modifications in it on the basis of consultations with state governments. In fact, the protracted discussions have led to an inordinate delay in its unveiling. The policy aims at maximum utilisation of the country's natural mineral resources for industrial growth and attract both domestic and foreign investment. According to official calculations, its careful implementation would attract an fdi to the value of $25 billion during the next five years.Even a cursory reading of the policy reveals that it is pro-market. On offer are measures and concessions to reduce delays and discretionary powers, which are seen as impediments to investment and technology flows in the mining sector in India. It confers absolute right on a prospector to obtain a mining lease in the areas where they have done requisite work, implying seamless transition from regional exploration to prospecting, and to mining, except for national security or specified public purposes. It allows unbundling of prospecting from mining, whereby the prospector may invest, find and sell data. Competitive exploration has been encouraged with state-of-the-art technology and investment with introduction of two new concessions, i.e. non-exclusive reconnaissance operations and a large area prospecting license. Competition and a level playing field has been introduced by ensuring an arms length between the government as a regulator and government as a miner. Complete transparency in auction of ore bodies has been promised.It seeks to create a sustainable framework for optimum utilisation of the country's natural mineral resources for the country's industrial growth and at the same time improve the lives of people living in the min