New gold reserves have been discovered in Odisha, but it's still uncertain how they will affect India's domestic gold mining.
Discovery and Significance of the Reserves
India's government has confirmed the discovery of new gold reserves in Odisha, specifically in the districts of Deogarh, Keonjhar, and Mayurbhanj. Odisha's mines minister also pointed out potential gold-bearing zones in Malkangiri, Sambalpur, and Boudh. While the find is termed 'massive,' no specific quantity has been disclosed.
India's Mining Capabilities vs. China's
India currently mines only 1.6 metric tons of gold per year, remaining heavily reliant on imports. In contrast, China recently announced the discovery of a 1,000-ton gold deposit, placing it in a favorable position amid BRICS discussions on a gold-backed currency.
Global Gold Reserves and India's Position
Russia has increased its gold reserves to $217.4 billion, becoming the fifth-largest holder globally. Meanwhile, global gold demand hit a record 4,900 metric tons in 2024, but India remains sidetracked in production despite its recent Odisha find.
The new gold discovery in Odisha could expand domestic mining, but the lack of extraction plans makes its impact uncertain.