- Karnataka leads among states, output up 66% y-o-y
- Exploratory drilling in India rises to 95,000 m in FY’25
India’s manganese ore industry hit a new stride in FY’25, recording an impressive 11% y-o-y increase in production to 3.75 million tonnes (mnt) compared to 3.38 mnt in FY’24. As one of the key raw materials in steelmaking, manganese plays a silent yet critical role in infrastructure and industrial development.
Driven by robust alloy demand, favourable global pricing, intensified exploration, and operational expansion, India’s manganese ore sector advanced notably. Enhanced mechanisation and streamlined clearances further strengthened production, positioning the industry for long-term efficiency, resilience, and strategic mineral self-reliance.
State-wise break-up
Karnataka emerged as a standout performer, registering a remarkable 66% growth in manganese ore production to 0.59 mnt in FY’25 against 0.35 mnt in FY’24. This increase can be attributed to enhanced mining capabilities, improved ore recovery, and stronger demand from regional steelmakers.
Andhra Pradesh also showed a significant 34% y-o-y increase to 0.40 mnt, fuelled by advancements in mechanisation and exploration activities.
Maharashtra, driven by MOIL’s operations and technological upgrades, recorded an 11% y-o-y rise, producing 1.15 mnt. Meanwhile, Madhya Pradesh and Odisha saw slight declines, reflecting operational challenges and reserve depletion.
Factors impacting India’s manganese ore production in FY’25
Strong mining performance backed by expansion, modernisation: State-run MOIL, which contributes over 45% of the country’s manganese ore, led the charge by achieving record monthly outputs during the fiscal year. This was powered by strategic investments in infrastructure, including the commissioning of new shafts and upgrades to existing mines at Dongri Buzurg, Chikla, and Kandri. These expansions allowed for higher ore accessibility, deeper mining, and improved operational efficiency.
Additionally, India witnessed a significant uptick in exploratory drilling – nearly 95,000 meters in FY’25 – which unearthed fresh reserves of high-grade manganese, reducing reliance on low-grade blends and boosting overall recovery rates.
Rise in alloy demand along with crude steel output: What truly lit a fire under production was manganese alloys production, which increased by about 27% y-o-y to 5.35 mnt in FY’25 against 4.2 mnt in the preceding fiscal.
Moreover, India’s crude steel production increased by 6% y-o-y in FY’25 to 152 mnt from 144 mnt in the preceding fiscal. Notably, crude steel production also increased by over 14% y-o-y in FY’24. The robust performance of the steel sector, driven by urban infrastructure and automotive growth, further tightened demand for manganese, reinforcing this production push.
Government support, policy initiatives: In FY’25, the Indian government played a crucial role in driving manganese ore production growth through supportive policies. Streamlined mining lease allocations, fast-tracked environmental clearances, and simplified regulatory frameworks created a conducive environment for sector expansion.
These initiatives not only led to significant investments in the sector but also encouraged technological advancements, enabling efficient production and sustainable growth in the mining industry.
Outlook
With global steel demand strengthening and alloy prices projected to remain robust, FY’26 is poised for continued growth in manganese ore production. Expanding export prospects, particularly to Southeast Asia, position India’s manganese sector as a hub for strategic value creation, transcending basic extraction.
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