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MMTC Ltd

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Metals and Minerals Trading Corporation of India Limited
Company typeCentral Public Sector Undertaking
BSE:513377
NSE:MMTC
IndustryTrading Company
Founded26 September 1963(26 September 1963)
HeadquartersNew Delhi,India
Key people
Sanjay Chadha
(Chairman&MD)
RevenueIncrease₹28,997.23 crore(US$3.5 billion) (2019)[1]
Increase₹183.86 crore(US$22 million) (2019)[1]
Increase₹81.43 crore(US$9.8 million) (2019)[1]
Total assetsDecrease₹4,454.77 crore(US$530 million) (2019)[1]
Total equityIncrease₹1,489.25 crore(US$180 million) (2019)[1]
OwnerGovernment of India(89.93%)
Number of employees
778 (01st May 2020)
Websitewww.mmtclimited.comEdit this at Wikidata

MMTC Ltd.(known fully asMetals and Minerals Trading Corporation of India) is one of the two highest earners offoreign exchangefor India and India's largest public sector trading body. Not only handling the export and import of primary products such ascoal,iron ore,agro and industrial products,MMTCalso exports and imports important commodities such asferrousandnonferrous metalsforindustry,andagriculturalfertilizers.MMTC's diverse trade activities cover third country trade, joint ventures and link deals and all modern forms of international trading. The company has a vast international trade network, spanning almost in all countries in Asia, Europe, Africa,Oceania,and in the United States and also includes a wholly owned international subsidiary inSingapore,MTPL. It is one of theMiniratnascompanies.

MMTC is one of the two highestforeign exchangeearner for India (after petroleum refining companies).[2]It is the largest internationaltrading companyof India and the firstpublic sectorenterprise to be accorded the status of Five Star Export Houses byGovernment of Indiafor long standing contribution to exports

Being the largest player inbulliontrade, includingretailing,MMTC's share was 146 tonnes ofgoldout of the total import of 600 tonnes of the precious metal in 2008–09.

History[edit]

Foundation[edit]

The company was incorporated on 26 September 1963 at New Delhi. It falls under Commerce Ministry. The Corporation started functioning on 1 October. The main objectives of the company was export ofmineral oresand import of essentialmetals.According to a latest news, MMTC is Asia's biggest gold and silver importer.[3]

State Trading Corporation[edit]

AfterIndependencethe government decided to authorize theminingof scarcemineral resourcesto thepublic sectorrather thanprivate sector,although India's National Mineral Policy clearly states that it does not "preclude the State from securing the co-operation of private enterprise in the larger interest of the State or with a view to accelerating the pace of development"

Under theConstitution of India,mineral rights and authority of mining laws remain vested with the state governments. On the other hand,Central governmentregulates the development of minerals under the Mines and Minerals (Regulation) Act of 1957.

The MMTC has its origins in the 1950s, when theIndian government,with the interest of boosting agricultural and industrial development, determined to earn valuable foreign currency through the export ofcanalizedmineral ores, which the country had huge deposits of. As a consequence of the government's decision to earnforeign currency,the State Trading Corporation of India Ltd. was founded in 1956, as a wholly ownedgovernmentsubsidiary,to handle the export and import of selected commodities.

1963-2000[edit]

The company had commenced its operation on 1 October 1963. With the rapid growth of the State Trading Corporation (STC) in its direct trading activities and in view of the importance given to the exports of mineral ores in the country's Five Year Plans, a decision was taken by the Government of India to split the STC and establish another corporation to deal exclusively with the trade in minerals and metals.

Japan and South Korea continued to be the major markets till the year of 1994. Then it made a foray into European market with the exports of one lakh tonnes of iron ore toSlovakiaandRomania.Also in the same year, the company had commenced import of gold and silver against specialimport licensefor supply to the customers in the domestic area. Imports worth 20 metric tonnes of gold and silver worth 270 tonnes was made and the company opened new gold vaults atHyderabadandVizagto offer its services to the customers in these areas. However,manganese oreexports remained depressed due to recession in the steel industry.

The wholly owned subsidiary MMTC Transnational Pte Ltd,Singaporewas incorporated under the control of company in the year 1994 itself. During the year 1995, MMTC opened a duty-free jewellery show room atChhatrapati Shivaji International Airportand aMemorandum of understandingwas signed with the government ofOrissafor development of existing Gopalpur minor port into an all-weather, deep water and direct berthing port. In the same year,Board for Industrial & Financial Reconstruction(BIFR) had approved the scheme of merger-cum-amalgamation of Mica Trading Corporation of India Limited (MITCO) with MMTC. From the year 1996 onwards, the company started to import theChemicalitems andHomeopathicMedicines. In 2003, MMTC's joint venture with the Orissa government, namely Neelchal Ispat Nigam Ltd., emerged as the second largest exporter of pig iron from India.[4][citation needed]

2012[edit]

On 14 September 2012. the Cabinet Committee on Economic Affairs decided disinvestment of 9.33% in MMTC.

Today MMTC has the distinction of being:

See also[edit]

References[edit]

  1. ^abcde"Balance Sheet 31.03.2019"Archived27 July 2020 at theWayback Machine.
  2. ^[1]Archived7 June 2011 at theWayback MachinePetroleum: India's largest foreign exchange earner.
  3. ^[2]Archived17 September 2010 at theWayback MachineMMTC: Asia’s biggest gold and silver importer-NEW DELHI (Commodity Online)
  4. ^"MMTC Ltd".Business Standard.Archivedfrom the original on 16 May 2018.Retrieved17 September2019.

External links[edit]

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