Introduction
Mining is an important function of the economy and helps in the production of several essential minerals for the production of various goods and services. Every country is proud of its mineral resources. The significance of minerals can be understood from the boom that many Middle Eastern economies experienced with the discovery of oil reserves in the region. India is also bestowed with enormous mineral wealth in the form of coal, iron ore, manganese, and mica as well as offshore mineral resources in the form of oil and natural gases.
The mining industry as well as the mineral resources of the country are subject to various regulations and laws. Natural resources are the wealth of a nation and can be used in a sustainable fashion for the present as well as future generations. Moreover, ethical mining is an important factor that should be taken into consideration by Governments around the world. Therefore, the mining laws of the country directly as well as indirectly regulate the illegality of the mining operation of the country1.
The “illegal mining” has not been statutorily defined2. Nevertheless, it encompasses all the different aspects of the mining operations that are not authorised by the mining companies. It means any mining activity that is not in consonance with the Mines and Minerals (Development and Regulation) Act, 1957 (MMDR Act)3 the Forest Act, 19274 or similar enactments. It is to be noted that issues like the non-clearance of environmental permits5 would also fall into the category of illegal mining.6
Illegal mining: Meaning and judicial understanding
(A) Meaning
In simple terms, the word “illegal” mining means the extraction of minerals from the earth without the authority of law. The term has not been formally defined under any of the major legislations like the Mines Act, 19527 or the MMDR Act. The only available definition can be found under the Minerals (Other than Atomic and Hydro Carbons Energy Minerals) Concession Rules, 20168. Here the term “illegal mining” has been defined as any reconnaissance prospecting or mining operation undertaken by any person or a company in any area without holding a mineral concession as required under sub-section (1) of Section 49. Nevertheless, this is a narrow conception of the ambit of “illegal mining”. A more robust and working definition can be found under the notification of Appointment of Justice Shah Commission on illegal mining. Here, the term of reference for the Commission noted the meaning of illegal mining as involving mining with a licence or outside the lease area or raising of minerals without lawful authority. It also involves mining without obtaining appropriate approvals from the State Government or the non-payment of royalties according to the grade and type of the mineral extracted.
(B) Statutory provisions
Even though the term “illegal mining” has not been statutorily defined, there are many references in these provisions to what might constitute illegal mining. After the 2021 Amendment110 to the MMDR Act, the term “without lawful authority” was explained through an Explanation inserted under Section 2111 of the MMDR Act12. This Explanation clarified the scope of “without lawful authority” to include the act of raising, transporting, or causing to raise or transport any mineral by a person without a prospecting licence, mining lease, or composite licence, or in violation of Section 23-C13.14
Similarly, under Section 23-C the State Governments have been granted extensive rule-making power to regulate various aspects of the mining operations. One of the domains where the State Government has been mandated to make rules around curbing illegal mining, transportation, and storage of illegally mined minerals. Consequent to the same, around 21 State Governments have framed rules regulating the illegal mining of minerals from their State. These rules broadly provide for the mechanism to prevent and punish any illegal mining of minerals in the States. It provides for the manner of application for a storage licence, online selling of minerals, manner of transportation, and provisions with respect to checking trucks for illegal minerals among others.
Another statutory provision in the context of illegal mining can be found under the provisions of the Mineral Conservation and Development Rules, 201715. Here, the Indian Bureau of Mines has been mandated to perform inspections of the mining area and report any violations of the mining laws to the Central Government. Consequent to the inspection, any violation is grouped either as a “serious” or “less serious” offence. Offences like non-submission of review of mining plan or failure to submit information attract the penalty of serious offence while offences like non-timely submission of prospecting report or geological report are termed as less serious offences. Indian Bureau of Mines issues “violation letters” in case of any violation which if not rectified leads to the launch of persecution. International Business Machine (IBM) can also suspend the mining operations if the violations are of a severe nature.
(C) Judicial development
The judicial overview of the “illegal” mining activities in the various States has contributed greatly to the development of jurisprudence surrounding “illegal mining”. This issue has also required the judiciary to step-in, mainly the Indian Supreme Court, which has ordered mining firms to correct their path. In addition to charging mining corporation’s compensation or stopping mining and associated operations, the judiciary decisions have also led to some significant policy changes, including the 2015 Amendment16 to the Mines and Minerals (Development and Regulation) Act, the 1986 Environment (Protection) Act’s17 Environmental Impact Assessment Notification, and the 2019 creation of a new National Mineral Policy.
One of the earliest decisions by the Supreme Court banning illegal mining activities in the Iron Ore Mines of Karnataka came in Samaj Parivartana Samudaya v. State of Karnataka18. In this case, there were rampant violations of the governance standard related to environmental pollution by the concessionaires and others. The Lokayukta appointed for the probe into the matter highlighted several irregularities in the mining activity in the area.19 The Court also found illegality in the high-profit margin of the various companies in the area due to the high international prices of iron ores. There were reports that corruption was rampant throughout all government departments, whether they had any direct or indirect connection to mining. In exchange for bribery, State Authorities gave fictitious licences to support unlawful mining. Considering the severity of the matter, the Court imposed a complete ban on mining activities in two districts of the State. It noted while imposing the fine that the rationale behind the decision was taken “on account of over-exploitation, considerable damage has been done to the environment. We are taking a holistic view of the matter. We have suspended these operations keeping in mind the precautionary principle, which is the essence of Article 2120 of the Constitution”. This ban was only removed after the cessation of illegal mining activity and the mining activities commenced only around 2014.
The main issue surrounding mining irregularities related to the extraction of iron and manganese ore in India is Goa mining case21. These issues first arose after an investigation and findings by the Federal Government’s special panel, the Shah Panel. Following the introduction of the Shah Commission Report on Goa Mining22 in Parliament, the State Government temporarily halted mining operations23. During the same month, all 139 mines in Goa had their environmental clearances suspended by the Union Ministry of Environment and Forests (MoEF). The Supreme Court ruled in October of that year in Goa Foundation v. Union of India24 that leases with irregularities found by the Shah Commission were invalid. The Court requested that the case be looked at by its Centrally Empowered Committee (CEC). These directives caused mining operations to be suspended. In the above case, the main source of illegality stemmed from the illegal extraction and selling of iron ore remains from overburdens dumped outside the lease areas. Also, there were mining activities being undertaken without a proper permit from the State Government. The Court also found widespread corruption in the government departments of the State. Nevertheless, the ban was lifted considering the economic impact on the local population. But at the same time, the Court in this case highlighted the various loopholes in the Mining Rules of the State among other irregulates which prompted the Government to reassess its mining regulations.
The illegal mining activities of the State of Goa came to the fore again due to non-compliance with the Supreme Court orders in Goa Foundation case25. In Goa Foundation v. Sesa Sterlite Ltd.26, the Supreme Court reprimanded the State Government as well as the Ministry of Environment for its lax attitude towards the renewal of the mining leases and environment clearances. The State Government violated the order by not considering all the mining leases afresh and rather renewing the same licences to the same people. Again, the Court was forced to stop the mining activities. It directed the State to review all the licences afresh investigate the loss of royalty to the State due to illegal mining activities and collect the lost revenue from the stakeholders.
The violation of tribal rights and consequent illegal mining happening in the State of Meghalaya was brought to the attention of the Supreme Court in State of Meghalaya v. All Dimasa Students Union27. In this case, the Court found that there was a blatant violation of the environmental clearance. Also, the tribal rights violation and consequent illegality were dealt with under this judgment. The Court found rampant rat-hole mining operations by the locals in the Jaintia Hills of the State28. This was held to be illegal and unscientific mining by the National Green Tribunal which was appealed before the Supreme Court in this case. The Court held that there was nothing under the provision of Section 4(1) that indicated the non-applicability of the provision to tribal areas even when the same was being done on community or private land in the hills. The Court also directed the State Government to ensure that appropriate compliance with the mining regulations is undertaken by the State and directed the establishment of the “Meghalaya Environment Protection and Restoration Fund”.
(III) Mica industry in India
(A) What is mica?
Mica has been identified as a naturally occurring mineral that mainly belongs to the essential group of silicate minerals. It is known for its distinctive physical traits, such as flexibility, resilience, and heat resistance. This mineral is typically found in a clear crystalline form, forming thin, sheet-like structures which in turn can be conveniently separated into transparent or translucent layers. These individual layers are often referred to as “books” due to their resemblance to the papers of a book. Mica comes in various hues like white, green, yellow, and brown, and its shiny appearance makes it highly desired across multiple industries, including electronics, cosmetics, construction, and automotive sectors. Its capacity to withstand heat, electricity, and chemicals, coupled with its insulating properties, makes it vital in producing electrical components like capacitors and insulators, as well as in making paints, plastics, and cosmetics.
(B) Uses of mica as a mineral
One of the principal uses of finely ground mica is in gypsum wallboard joint compound. Here, it serves a dual purpose. Firstly, it acts as both a filler and extender, enhancing the compound’s smoothness and making it easier to work with. Additionally, it helps prevent cracking, ensuring a more durable finish. In the paint industry, ground mica is utilised as an extender to aid paint suspension. Its unique properties including lightweight and platy morphology help maintain consistency and reduce issues like checking and chalking. This, in turn, eliminates the risk of paint film shrinkage and tearing, while also improving resistance to water and weather damage. Furthermore, it enhances the vibrancy of coloured pigments. Another application of mica is in the well-drilling industry, where it is added to drilling muds to improve their performance.29
Ground mica is used as a prime mineral in the plastic industry. Here, it serves multiple functions. It acts both as an extender and a filler, while also serving as a reinforcing agent as well. Similarly, in the rubber industry, mica is hugely utilised as an inert filler and as a lubricant in the production of molded rubber goods, such as tyres.
The electrical and electronic industries are the main users of sheet mica. Its primary applications include; electrical insulators in electronic devices, thermal insulation, acting as gauge “glass” and windows in stoves and kerosene heaters, dielectrics in capacitors, decorative panels in lamps and windows, insulation for field coils in electric motors and generators and insulation for magnet and commutator cores.
(C) Supply chain of mica industry
The mica industry’s supply chain is made up of an intricate web of activities involved in the extraction, processing, and distribution of mica products across various sectors. Comprehending the intricacies of the mica industry and tackling issues pertaining to sustainability, ethical sourcing, and market demand necessitates an understanding of this supply chain.
The process of extracting mica from natural deposits, which mostly take place in areas rich in mica minerals like China, India, and numerous African nations, is the first step in the supply chain. Mica mining includes both legal and illicit activities; informal mining is frequently linked to environmental damage and worker exploitation. At the mining areas, extracted mica undergoes initial processing to remove the last bit of impurities and grade it according to size and quality.
After being extracted and initially processed, mica undergoes transportation to processing facilities where additional refinement occurs. The processing techniques employed vary based on the intended use of mica products. Mica used in cosmetics, for example, must go through further purification to meet stringent quality standards, whereas mica used in industrial applications might undergo grinding, crushing, and sorting procedures to reach precise particle sizes and qualities.
Once the initial processing takes place, mica products are distributed to end-users in different industries through various channels. Wholesalers, distributors, and direct sales to manufacturers are examples of distribution channels. International trade plays a crucial role in promoting the supply of mica products in the international marketplace.
(IV) Child labour in mica industry
(A) A means of familial support
The National Commission for Protection of Child Rights (NCPCR) conducted a survey wherein it was found that over 22,000 children were working as child labourers in the Jharkhand and Bihar mica mining regions. In the same report, NCPCR carefully observed that a major section of children working in the mica mining areas have been denied equal opportunities and have taken up labour as the only means to sustain their livelihoods. The districts of Koderma and Giridh in Jharkhand and Nawada district in Bihar were the prime sites of the government survey. The survey made a shocking revelation that around 4545 children in the age group of six to fourteen years in the Jharkhand district have stopped attending school altogether.30 The sole reasons for not attending the initial years of schooling include a consistent lack of aspiration for the future, loss of interest, and also the increasing demand for collecting mica scarps, which was recorded by the survey.
Till today a social issue like child labour is conducted in secrecy and unlawfully, which makes it equally evident that the precise number of children involved in these hazardous activities remains unclear and unresolved. The inherent process of extracting mica is quite perilous as it requires accessing narrow tunnels and caves, small children are more capable and better suited for this task compared to adults. Families struggling with financial distress have no chance to generate revenue, which exacerbates the prevailing issue. However, the children who work in these mines barely make fifty rupees a day, a pitiful wage compared to wholesalers who make substantial profits, earning over a thousand US dollars for just a kilogram of premium quality mica. This massive disparity highlights the seriousness of the human rights violations and exploitation that mostly occur in the mines.
It has been a generation-long commitment for families, especially in the two prime districts of Jharkhand have largely relied on the gathering and trade of mica.
(B) The toll of mica mining on children
There are serious threats to children’s health and safety associated with illegal mica mining. Long-term dust exposure can cause respiratory diseases, while prolonged digging of soil without proper protection significantly raises the risk of skin injuries and injuries. Furthermore, the lives of the children involved are constantly under menace due to the regular collapses of mines.
In instances of mining shaft collapses, children can get stuck under the debris. In the absence of supervision, prompt aid is frequently unavailable in the mines. The families of these little children live in perpetual dread of losing them, and due to the lack of proper regulation in mica mining, they are ineligible to receive any form of due compensation in the event of an accident. Furthermore, the absence of systematic regulatory oversight in illegal mining leaves children vulnerable to the horrors of sexual and physical abuse, along with the looming threat of human trafficking.31
Case study: Giridih and Koderma
Jharkhand is rich in mineral resources including mica. Koderma and Giridih are the districts leading in the production of mica in India. In fact, Koderma, a Naxal hit area is called the Mica Capital of India. These mid-size towns have populations of approximately 8 and 24 lakhs respectively. Over half of the population of Koderma is involved in some or the other form of the mica industry of the district. The area is covered by dense forests which are covered under the Forest Conservation Act of 198032. Most of the population in the area is illiterate and there is no means of subsisting livelihood except agriculture and mica mining33.
The mining in the area was once legal. However, with the passage of the Forest Conservation Act, mining in the area became illegal. While large corporations and industries vanished, the middlemen and locals took over the mining activity. They mined the minerals from the leftover mines and sold the minerals to these middlemen at low prices. The poverty in the area is an important factor that has propelled families and children to mine, mica, using rudimentary tools. Another factor responsible for child labour in the mica mines is the absence of up-and-running government schools in the villages. The COVID-19 Pandemic is another reason for the rampant increase in Child labour in the mines. According to reports by The Guardian, around 20 thousand children work in the mica mines of Jharkhand. Several deaths caused due to the mica mining by infants have been reported34. The mica mining has also affected the health of the children in the area to a great extent.
To prevent the menace of illegal mining in Jharkhand, the Government proposed to legalise the mining activity to sell the mines through auction to industries. This according to the government would help generate legit income for the residents of the mica districts. At the same time, the auctioned mines would deny access to the children. This would help in reducing the menace of child labour. Nevertheless, there are concerns that the step might in fact backfire. Because illegal mica mining was the main source of livelihood for the families, the children along with the family might be forced to work more as their income dries up35. Moreover, to assume that the middlemen would be completely irradicated would be an incorrect fantasy. Lastly, there is nothing to assure us that the concessionaires would not employ child labourers. Cheap labour might propel these corporations to employ child labourers36.
The Government of Jharkhand has also formulated the “illegal mining” rules for the State which provide the various nuances of the mining operations which are not legal in nature37. The rules provide for various registrations that lease-holders must mandatorily undertake as well as provisions with regard to search and seizures of trucks and other vehicles used for the transportation of minerals. It also provides for the custody of the seized item as well as the penalties levied on the confiscation of the goods.
The Shah Commission on Illegal Mining of Iron and Manganese Ore in the Jharkhand38 has pointed out certain measures that should be taken to prevent illegal mining operations in the State. The recommendations of the Commission can be useful for the prevention of mining operations in the State.
Conclusion and suggestions
(A) Reform in labour and child laws
The various surveys conducted at the grassroots level bring out the gruesome reality regarding frequent instances of child labour across the different mica mining regions. In light of the prevalent situation, it becomes imperative to urgently address reforms in labour and child laws. Firstly, stringent enforcement measures should be coupled with necessary amendments to all the existing labour laws to help address the issue of the exploitation of child workers in the major mining areas. In any case wherein any employer is found employing children in a hazardous work setting should be imposed with rigorous penalties, and the same shall act as a deterrence for all future instances. Moreover, the need of the hour is to set up a regulatory framework that would mandate properly scheduled inspection and monitoring recourses in every mica mining sector to effectively identify and prevent instances of child labour.
The children working in the mining areas are deprived of their fundamental rights and opportunities. Hence, the State needs to enact proper legislative provisions that mandate the right to education and alternative employment opportunities for every child employed to help them break the shackles of poverty. Collective efforts must take place at all three levels  governmental bodies, non-governmental organisations, and local-level communities to deal with this social evil.
(B) Change in policy by the Central and State Government
To adequately address the prevailing issue of child labour in the major mica mining areas, substantive efforts must be made at both the Central and State levels. The most fundamental course of action should be to enact proper reforms in areas of labour and child welfare which would ultimately help tackle the root cause of child labour. This means amending the existing legal framework is not enough in itself, which means implementing new policies at a parallel pace is crucial to address the challenges faced by minor children. Furthermore, at the time of drafting the policies fundamental rights to education, healthcare, and a safe environment should be kept at paramount consideration. The well-being of the child’s family should also be kept on an equal pedestal while ensuring access to alternative sources of livelihood for the family members to help sustain themselves.
(C) Reforms needed by stakeholders
At the national level, stakeholders are the only individuals who have the potential to bring about practical changes at all levels. This means stakeholders at all levels, be it the policymakers, local level organisations working on the societal issues and bigger players of the market like the industry stakeholders have to all come together under the same umbrella to sit and deliberate on the main causes of child labour and accordingly come up with holistic efforts to bring about a change.
(a)Media
Media plays a crucial role in every civilised society. The inherent role of media in addressing the social issue of child labour in the major mining areas should be taken into consideration. One way of generating awareness among the masses and policymakers would only be possible if the media sources shone the spotlight on the existing issue of child labour. Media should make proper use of documentaries, authentic news reports, and investigative journalism to bring the general public to come to terms with the harsh reality of the child labourers engaged day and night in hazardous work settings, for a meagre amount. Furthermore, the media can provide a real-time discussion platform thereby inviting representation from the general public, stakeholders, and local-level authorities to bring about a fruitful change. By making the maximum use of their storytelling power play and visual imagery that have the potential to evoke empathy and inspiration among both the mobilised individuals and organisations to contribute equally to the fight against child labour.
(b) Local community
The most crucial engagement should be initiated at the local level to address the problem of child labour. Prima facie the local communities should be empowered to claim due ownership of the issue through the portrayal of the importance of education and awareness campaigns to help instil a sense of collective responsibility on these players. Meanwhile, they should also be made knowledgeable on providing alternative sources of revenue prospects and the importance of schooling to the child labourers to encourage them to break through the cycle of poverty and helplessness.
(c) Corporations
Corporations are well recognised for prioritising ethical sourcing practices and commitment to ensuring supply chain transparency to help reduce cases of child labour. The real-time need is to undertake stringent monitoring protocols and support community-level initiatives. Corporations carry forward a legacy of upholding corporate social responsibility thereby contributing to the elimination of exploitative labour practices.
(d) International Organisations and non-governmental organisations (NGOs)
Collaborative efforts on the part of international organisations with various NGOs are considered an important aspect in battling child labour in the mining world. Collecting efforts from both the above stakeholders would help ensure the effective allocation of resources, and bring in the required expertise and advocacy skill dealings on a global scale. Escalating the above efforts into real-time gameplay would require partnering with locally operating communities and government bodies, international organisations, and NGOs. In addition, each of the key operators can help leverage their individual influence to push for major policy enactments and better safeguard existing regulations.
*5th year student, 9th semester, National Law University, Odisha. Author can be reached at: priyagoenkaaz07@gmail.com
**5th year student, Law Student, University of Lucknow. Co-Author can be reached at: kashyapvaibhav2024@gmail.com
1. Kuntala Lahiri-Dutt, “Illegal Coal Mining in Eastern India: Rethinking Legitimacy and Limits of Justice”, (2007) 42 Economic and Political Weekly 57.
2. E.A.S. Sarma, “Lack of Clarity and Vision in New Mines and Minerals Act”, (2015) 50 Economic and Political Weekly 16.
3. Mines and Minerals (Development and Regulation) Act, 1957.
5. C.M. Jariwala, “Mining and Environment: Indian Law Scenario”, (1995) 37 Journal of the Indian Law Institute 431.
6. Majaw, Baniateilang, “Ending Meghalaya’s ‘Deadly Occupation’: India’s National Green Tribunal’s Ban on Rat-Hole Mining”, (2016) 49 Verfassung und Recht in Übersee/Law and Politics in Africa, Asia and Latin America 34.
8. Minerals (Other than Atomic and Hydro Carbons Energy Minerals) Concession Rules, 2016, S. 2(c).
9. Mines and Minerals (Development and Regulation) Act, 1957, S. 4(1).
10. Mines and Minerals (Development and Regulation) Amendment Act, 2021.
11. Mines and Minerals (Development and Regulation) Act, 1957, S. 21.
12. State (NCT of Delhi) v. Sanjay, (2014) 9 SCC 772.
13. Mines and Minerals (Development and Regulation) Act, 1957, S. 23(c).
14. S. Rajendran, “Illegal Mining, Impatient Mafia and Ill-treated Administrators”, (2013) 48 Economic and Political Weekly 16.
15. Mineral Conservation and Development Rules, 2017; Amit v. State of Haryana, 2019 SCC OnLine P&H 7325.
16. Mines and Minerals (Development and Regulation) Amendment Act, 2015.
17. Environment (Protection) Act, 1986.
19. A.R. Vasavi, “Beyond Corruption in Mining: A Derailed Democracy”, (2011) 46 Economic and Political Weekly 14.
20. Constitution of India, Art. 21.
21. Rahul Basu, “Catastrophic Failure of Public Trust in Mining: Case Study of Goa”, (2015) 50 Economic and Political Weekly 44; see also, Rahul Basu, “Mining in Goa: Beyond Forest Issues”, (2012) 47 Economic and Political Weekly 77.
22. Justice M.B. Shah Commission, First Report on Illegal Mining of Iron and Manganese Ore in the State of Goa.
23. Rahul Basu, “NCAER on Mining in Goa: Inconvenient Truths”, (2012) 47 Economic and Political Weekly 73.
28. Baniateilang Majaw, “Meghalaya — Small but Not So Beautiful”, (2014) 18 World Affairs”, The Journal of International Issues 126.
29. Minerals Education Coalition, “Mica” (mineralseducationcoalition.org).
30. “5000 Children Abandon Studies to Work in Mica Mines of Jharkhand, Bihar” (thewire.in, 27-8-2019).
31. “5000 Children Abandon Studies to Work in Mica Mines of Jharkhand, Bihar” (thewire.in, 27-8-2019).
32. Forest (Conservation) Act, 1980 renamed as Van (Sanrakshan Evam Samvardhan) Adhiniyam, 1980.
33. Aarushi Goel and Anwesha Das, “An Assessment of Illegal Mica Mining in Jharkhand”, (2021) 4 International Journal of Law Management & Humanities 1344.
34. Katharina Debring, “Behind the Glittering Façade: Exploitation of Children in Mica Mining in India” (terre des hommes Help for Children in Need 2022). <https://www.tdh.de/fileadmin/user_upload/inhalte/04_Was_wir_tun/Themen/Kinderarbeit /Mica/ 2022-06_Exploitation-of-Children-in-Mica-Mining.pdf>.
35. Nita Bhalla, “Deaths of Child Workers in India’s Mica ‘Ghost’ Mines Covered Up to Keep Industry Alive”.
36. P. Nagasayee Malathy, “Case Study on Child Friendly Village (Bal MItra Gram) — BMG” (Bain & Company for Kailash Satyarthi Children’s Foundation) <https://satyarthi.org.in/wp-content/uploads/2020/07/Mica-BMG-Case-Study.pdf accessed on 16-3-2024.
37. Ajitha Susan George, “Laws Related to Mining in Jharkhand”, (2005) 40 Economic and Political Weekly 4455.
38. Justice M.B. Shah Commission, First Report on Illegal Mining of Iron and Manganese Ore in the State of Jharkhand (2013).
