District Mineral Foundation (DMF) will be notified soon by several mineral bearing states as discussed in recent meeting of Co-ordination Cum Empowered Committee (CCEC), held under the chairmanship of Union Secretary (Mines), Dr Anup K Pujari on 5 June, 2015.
Status of DMF by Mineral Bearing Indian States
| Establishment of DMF | ||||||
| State | Decision taken for districts to be notified |
If Yes, whether notification done |
Whether DMF structure notified |
If not, likely month |
Whether DMF constituted |
If not, likely month |
| Andhra Pradesh |
13 districts | No | No | Mid July, 2015 |
No | End of Jul’15 |
| Chhattisgarh | All districts | Will be notified till 30 Jun’15 |
— | — | — | — |
| Goa | Yes | 5 May’15 | No | Jul’15 | No | Aug’15 |
| Gujarat | 32 districts | Under process | Under process | Jul’15 | Under process | End of Jul’15 |
| Jharkhand | 24 districts | In progress | In progress | Jul’15 | In progress | Jul’15 |
| Karnataka | 30 districts | No | Yes | Jul’15 | No | Jul’15 |
| Madhya Pradesh |
All districts | Yes | No | Oct-Nov’15 | — | — |
| Odisha | No | — | No | Sep’15 | No | Sep’15 |
| Rajasthan | Not | 30 Jul’15 | Under process | Aug’15 | No | Aug’15 |
| Tamil Nadu | Under process | One month | Under process | Jul’15 | Under consideration | Aug’15 |
| Telangana | Yes | Under process | Under process | Jun’15 | No | Jul’15 |
Source: CCEC Minutes of Meeting
What is DMF?
DMF is District Mineral Foundation, introduced in amended MMDR (Mineral and Mining Development Regulation Act). Under the act, miners of iron ore, bauxite, limestone and manganese ore will be required to pay upto 100% of the royalty on the mineral as their contribution towards the DMF, meant to support the project-affected people.
Current Royalty Rates on Minerals
| Minerals | Current Royalty |
| Iron Ore | 15% of average sale price on ad valorem basis |
| Manganese Ore | 5% of average sale price on ad valorem basis |
| Limestone | INR 90/MT |
| Bauxite |
(a) Metallurgical Grade: 0.60% of London Metal Exchange Aluminium metal price chargeable on the contained Aluminum metal in ore produced for those dispatched for use in alumina and aluminium metal extraction. |
Source: SteelMint Research
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