Diamond excavation plummets in Madhya Pradesh’s Panna

Apart from NMDC’s, there are shallow mines in the region that are leased out. The state mining department and NMDC organise auctions of diamonds in Panna and in other cities

Only 77.72-carat diamond has been found in Madhya Pradesh’s Panna since January, the lowest over the last five years, while 184-carat was excavated last year, according to state mining department data.

Representational Image. (File photo)

Mining officer Ravi Patel said for the diamond business has come down by over 20%. “The auctioning of diamonds is also not taking place due to poor availability of diamonds.” He added the resumption of mining at the National Mineral Development Corporation (NMDC)’s mine at Majhganwa in Panna can boost the diamond business, but it is yet to get environmental clearance.

The NMDC mine was closed after 60 years as its environmental clearance ended on December 31, 2020.

Apart from NMDC’s, there are shallow mines in the region that are leased out. The state mining department and NMDC organise auctions of diamonds in Panna and in other cities.

Panna Diamond Merchants Association president Shrinivas Richariya said a large number of businessmen would come to Panna for NMDC’s auction. “They used to take shallow mines on lease and also purchase the diamonds excavated. But this year, the excavation of diamonds from shallow mines decreased due to the poor availability of labourers. The footfall of businessmen also decreased.”

The number of mining leases issued has reduced to 542 this year compared to 637 in 2020 during Covid-19 restrictions. As many as 711 leases were issued in 2019.

Rampyare Vishwakarma, 45, a labourer, said after years three of them found a 14.4-carat diamond in February. “But we are waiting for the auction. We do not know when we will get money.”

At least 300 labourers and qualified workers have lost jobs due to the closure of NMDC mine.

The State Wildlife Board gave clearance to the NMDC mine in January this year. The Central Wildlife Board in March followed suit, but the matter is pending before a Supreme Court panel.

The NMDC mining project began in 1959. It was shut down due to environmental issues in August 2005 before the mining resumed in June 2009 when the Supreme Court allowed it until 2020. An NMDC official said the complete excavation of diamonds will be completed by 2035.

The Madhya Pradesh Forest Department is in favour of resuming the mining saying it would not affect wildlife in Panna. Panna Tiger Reserve filed director UK Sharma said they have already cleared the permission for mining by NMDC as there is no threat to wildlife due to its mine. “The movement of tigers and other animals are negligible in Manjhganwa.”

State mining minister Brijendra Pratap Singh said the mining activity will be resumed soon. “We are also going to start a diamond museum in Khajuraho to boost the diamond business.”