About Us

DISTRICT MINERAL FOUNDATION TRUST

Tamil Nadu is endowed with substantial resources of Major Minerals viz Lignite, Limestone, Marl, Graphite, Magnesite, Garnet, Ilmenite, Rutile, Sillimanite, Zircon and Monazite, etc and Minor Minerals viz Roughstone, Granite, Lime kankar, Quartz, Feldspar, Silica Sand, Quartzite, Sandstone, Dunite, Fire Clay, Ball clay, Pebbles, Sand, Gravel, Laterite, etc. Mining /quarrying of mineral resources have contributed richly to the industrial, infrastructural and economic growth of the State.
The mining related operations affect the adjoining areas and vulnerable population in those areas. In order to give them special care and attention in an organized and structured manner and to ensure that these areas and persons affected by mining related activities are benefitted by the mineral wealth in their regions and also to improve the livelihood of the people and areas affected by the mining operations, as mandated by Section 9B of the Mines and Minerals (Development and Regulation) Act, 1957 and the Tamilnadu District Mineral Foundation Rules, 2017 framed under the Section 15(4) of the MMDR, Act the District Mineral Foundation Trust have been established in the State.

ESTABLISHMENT OF DMFT IN THE STATE

The Government has established a District Mineral Foundation Trust in all districts of the State except Nilgiris for the welfare of the people in the areas affected due to mining activities. Each District Mineral Foundation Trust has their own District Mineral Foundation Trust fund accrued from the mandatory contributions paid by the mining/quarrying lessees while transporting minerals from the leasehold areas.

Lessees are required to contribute 30% of the royalty/seigniorage fee additionally, for leases granted prior to 12.01.2015 and 10% additionally for leases granted subsequently, as per Tamilnadu District Mineral Foundation Rules, 2017. The fund is utilized for the implementation of the high Priority and other priority items as mentioned in the Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY) for the welfare of the mine affected areas and people. Many projects have been implemented using the District Mineral Foundation Trust Fund in high priority areas viz. education, drinking water, health, sanitation, welfare of the aged and differently abled people, welfare of women and children, skill development, environment and pollution control and other priority areas viz. infrastructure, irrigation development and energy & watershed development. A total of 3296 projects have been taken up at a cost of Rs.1039.27 crore up to May 2025.

OBJECTIVE OF THE DMFT

To work for the interest and benefit of persons, and areas affected by mining related operations in such manner as may be prescribed by the Union and State Government.

PROGRESS OF THE DMFTS IN THE STATE

  • Rs. 1729.14 crore has been contributed by the lessees from the period of establishment of this Trust in 2017 till 31.05.2025.
  • A minimum of 60% of the fund is earmarked for taking up projects under the high priority sectors such as health care, drinking water, education, welfare of women and children, welfare of aged and differently abled people, skill development, sanitation, environmental preservation and measures to control pollution, as per Tamilnadu District Mineral Foundation Rules, 2017.
  • The remaining fund is used for projects that fall under other priority sectors such as infrastructure, irrigation development, energy & watershed development, environmental preservation and pollution control measures.
  • A total of 3296 projects have been taken up so far at a cost of Rs. 1039.27 crore. Out of these projects, 2659 have been completed and put to use.

Overall Year Wise DMFT Fund