XI LOK SABHA DEBATES,   Session IV (Budget) 

Friday , May 16, 1997 / Vaisakha 26, 1919 (Saka)



Type of Debate: SPECIAL MENTION

Title: Suggestion to give royalty to the particular state on minerals  on
the basis of 50 percent of th net profit.

TEXT :
 DR.  KRUPASINDHU  BHOI  :  In 1957, this Mines and Minerals Act was envisaged.
After that, in every three years, the royalty  for  minerals  is  fixed.    My
suggestion is that this Government should decide whether the royalty should be
fixed on  ad  valorem  value  or  differently for different minerals.  Orissa,
Bihar, Madhya Pradesh and Rajasthan are  the  most  backward  areas.    It  is
mentioned in the provisions of the Constitution that these areas are backward.
My  suggestion  is  that,  like in the case of petroleum, since any mineral or
other product is a national product,  the  Government  of  India  should  give
royalty to that particular State on those minerals on the basis of 50 per cent
of the net profit and not on the ad valorem value.  This is my suggestion.

MR. CHAIRMAN: The suggestion of the Member may be brought to the notice of the
Minister please.




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