SHILLONG: Meghalaya Chief Minister Conrad K. Sangma has revealed that the state has incurred a revenue shortfall of nearly ₹200 crore, mainly due to disruptions in cross-border trade with Bangladesh and the ongoing transition from traditional coal mining to a regulated scientific mining system.
Addressing the issue, the Chief Minister said the recent political and social unrest in Bangladesh had severely affected trade activities, leading to a decline in tax collections. However, he expressed optimism that the situation is gradually stabilising and trade flows are expected to improve in the coming months.
Sangma noted that instability across the border had temporarily weakened commercial exchanges, directly impacting state revenues. He said early signs of normalisation are now visible, which could help Meghalaya regain lost income.
While acknowledging the challenges, the Chief Minister clarified that international relations fall under the jurisdiction of the Central Government. Nonetheless, he said the state government remains hopeful that improved diplomatic ties will help revive cross-border commerce.
At the same time, Meghalaya is undergoing a major shift from traditional coal extraction practices to a scientific and regulated mining framework. The Chief Minister admitted that the transition initially slowed revenue generation but stressed that it is essential for long-term sustainability.
“The move towards scientific mining may have affected short-term earnings, but it is necessary for the future of the coal sector and the environment,” Sangma said.
Highlighting the state’s recovery strategy, Sangma said the formalisation of coal mining is expected to play a key role in strengthening non-tax revenue.
Informing about the current status, the CM said, three mining licences have already been issued and around 20 applications are awaiting final approval.
The government aims to generate ₹634 crore in non-tax revenue in 2026–27 if all pending projects become operational on time, Sangma said.
“If we implement scientific mining effectively and ensure timely execution of pending projects, our revenue will rise substantially,” he added.
The Chief Minister expressed confidence that a combination of restored border trade and full-scale implementation of scientific mining would help bridge the ₹200 crore revenue gap.
He said these measures are expected not only to stabilise the state’s finances but also to provide a strong foundation for Meghalaya’s long-term economic growth.
