Free markets excel in allocating economic resources efficiently and effectively in the production of private goods, in accommodating the discovery and exploitation of genuine business opportunities, creating wealth in the process.
The government had denied any wrongdoing and said that it opted for allocating the blocks instead of auctioning them as it intended to increase the production of coal and maximizing profits wasn't its motive.
Mr Mitarai told The Economist recently that he has a rough cut-off rule for allocating investment: anything for which labour comprises more than 5% of production costs can be done in China or some other low-wage country.
Mr. Srivastava added that the government is also keen on allocating more coal mines to power-generation companies in order to raise the production of coal.