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Article

9 Feb 2010

Author:
James Lamont and Martin Wolf, Financial Times

New Delhi offers to suspend mine deals [India]

The Indian government has offered to suspend contracts with mining companies in central and eastern parts of the country in a bid…to bring Maoists militants to the negotiating table…Negotiations over mining contracts form part of a wider strategy to pacify Maoist groups and address the grievances of rural communities…Maoist…criticise the sale of the state's iron ore and other minerals to outsiders, and accuse large companies already operating in the state of “cheating” the impoverished population...India is the world’s fourth largest iron ore producer, and has deposits of coal and other minerals. But poor mining practices and lax regulation are increasingly a cause of concern.