Chief Minister Devendra Fadnavis on Thursday, 18 June 2026, formally demanded that the Union Ministry of Coal and Mines transfer six iron ore mining blocks in Gadchiroli to the Maharashtra State Mineral Corporation (MSMC), positioning the mineral-rich eastern district as the centrepiece of a planned national 'Green Steel Hub'. The demand was made during a high-level review meeting on mining and power generation held at Varsha, the Chief Minister's official residence in Mumbai, chaired by CM Fadnavis and attended by Union Minister for Coal and Mines G. Kishan Reddy.

Context

The meeting brought together senior officials from the state government, the Union Coal and Mines Ministry, Western Coalfields Limited, and Coal India Limited to review pending issues around mineral production and power generation. CM Fadnavis made the case that allocating the six Gadchiroli iron ore blocks directly to the state corporation — rather than through open auction — would fast-track operationalisation and ensure transparent mineral supply to downstream steel industries.

He expressed confidence that if the mines are handed to the state, they can be made operational within two years and production can commence by 2030, helping position India as a steel exporter. Union Minister G. Kishan Reddy responded positively to the proposal, according to the official statement from the Chief Minister's Office.

Policy Backdrop

The demand draws on a precedent set by Odisha, where the state mineral corporation was allocated bauxite mining blocks to accelerate production and feed downstream industry — a model Maharashtra is explicitly citing. CM Fadnavis noted that of roughly 500 mineral blocks auctioned nationally, only about 50 are currently operational, with high premiums rendering many blocks commercially unviable for private bidders.

Maharashtra has argued that routing mines through the state corporation removes the premium burden, improves viability, and allows faster ramp-up. The MMDR Amendment Act of 2015 opened the door for state agencies to participate directly in mineral concessions, providing the legal basis for this request. The state is seeking approximately 1,300 hectares of area — comparable to what was granted to Odisha's state corporation for bauxite.

CM Fadnavis stated that more than 40 mineral blocks are ready for auction in Maharashtra, with processes initiated for 14 of 34 identified blocks. A district-level mining authority has been established and a dedicated clearance mechanism is in place to accelerate approvals.

Stakeholders and Impact

Gadchiroli's iron ore is described by CM Fadnavis as among the highest-grade in the country, making the district a natural anchor for an integrated steel ecosystem. Companies including Tata Steel and JSW Steel have already signed memoranda of understanding with the Maharashtra government and land acquisition for various projects is underway. Several other domestic and international steel producers have also expressed investment interest in the district.

The region's improved security environment — with the influence of Left-Wing Extremism described as having become negligible — has made large-scale industrial investment more feasible. A planned rail and freight network linking Gadchiroli to JNPT (Jawaharlal Nehru Port) and the upcoming Vadhavan Port is being designed to complete the logistics chain. Land alongside the Hindhrudaysamrat Balasaheb Thackeray Maharashtra Samruddhi Mahamarg has been reserved for the required rail alignment.

CM Fadnavis also directed that an automated coal sample-testing system be introduced to resolve disputes between state power generation companies and coal suppliers over quality, preventing financial losses to the sector.

What's Next

The central government's formal decision on the six Gadchiroli iron ore blocks will be the critical next step. A positive ruling would set in motion environmental and forest clearances, land acquisition, and infrastructure tendering. CM Fadnavis stated that the Union Coal and Mines Ministry, Western Coalfields, and Coal India have agreed to take prompt positive decisions on various pending state demands. If the allocation proceeds on the timeline outlined, Maharashtra's ambition to build the country's largest steel and green steel production hub could move from planning to execution within this decade.

Also present at the meeting were Union Minister of State Satish Chandra Dubey and Maharashtra Minister of State Dr. Pankaj Bhoyar, along with senior officials from both the state and central governments.