India's GDP and larger developmental process will gain momentum over the coming decades and in turn bolster the mining and minerals sector, President Ram Nath Kovind said.
He also asserted that eventually the local communities must benefit from the discovery, extraction and development of mineral resources.
The reform process set in motion in the mining sector four years ago is bearing rich dividends and will enhance the fiscal health of states, Kovind said at the National Geoscience awards event in New Delhi.
"India is one of the fastest growing major economies in the world. Our GDP as well as our larger developmental process is set to accelerate over the coming decades. The mining and mineral sector is poised to grow as a result of this expansion of the economy. At the same time, it will also be a driver of economic expansion," he said.
India's per capita consumption of many resources and commodities is still very low by global standards and there is room to grow, he said, adding that as more cities, houses and infrastructure are built, the use of key resources will rise.
Kovind said India needs high-quality research initiatives for sustainable, ecologically-friendly resource generation and meaningful investment in technological innovation in the mining sector.
"That is why reforms in the mining sector have been pushed by the government over the past four years. These reforms, including amendments to existing laws and establishing a more equitable system of royalties, are starting to show results," he said.