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MiningIndia has an abundance of metals and minerals. Globally, the country is the largest producer ofsheet mica, the third largest producer of coal, the fourth largest producer of iron ore and the fifthlargest producer of bauxite. Besides these natural resources, India also has significant reserves ofcopper, zinc, gold and about 26 other metallic and minor minerals.The Indian mining sector is largely state-dominated, but the government is now seeking a phasedwithdrawal of its participation from the non-strategic metal sector in order to encourage privateplayers to take the centre stage. However, despite falling commodity prices, India’s mining sectoris continuing to post strong growth driven by strong domestic demand. Between 2008 and 2013,BMI (Business Monitor International) forecasts that the sector will grow to reach a total value ofRs. 2,308.14 billion.The metals and mining sector could potentially attract more investmentthan any other sector in the next 4-5 years.Rs. BillionProposed investments in the metals and miningsector in India over 4-5 years254.20*762.60254.202796.204067.20 3050.40Iron &steelAluminum CoalOthersTotalinvestment* Does not include investments in thermal powerSource: Press report; company websites; Global InsightAssuming75 per cent ofthe intendedinvestmentscomeOutlookAccording to various projections, all these actions initiated by the Government are expected to bring the economy back on track duringthe second half of the Financial Year 2009-10. This translates into great opportunity for TIL. It is estimated that in the construction andmining sectors, growth will be around 15-20 per cent for the next year with higher focus on Rental and Used Equipment operations.Infrastructure Research estimates the construction equipment requirement in monetary terms for the Eleventh five year plan for keysectors. While equipment cost in power generation will amount to being in the range of Rs. 1,200 - Rs. 1,400 billion for the Eleventh fiveyear plan, for the roads sector it will amount to being in the range of Rs. 850 - Rs. 900 billion.