In this paper an attempt has been made to show the economic significance of mining sector in the context of Orissa Economy in terms of value of total extractions, total employment generation and contribution of mining sector to State Gross Domestic Product and total revenue generation. Despite being the highest mineral rich state of the country, the state is designated as one of the poorest states because benefits of mining have gone to few hands caused by large scale corruption. The paper has explored how corruption starting from allotment of lease till the valuation of minerals and fixation of royalties has deprived the state exchequer from its dues, resulting in greater inequalities between the rich and the poor in the state.

mining, limited resources, corruption, economy, forecasting analysis