The committee headed by finance minister Prasanna Acharya, was supposed to submit its report by April 30 to the government.
"Now we feel, the committee requires one month more time for formulating a long term policy" Acharya told reporters after the meeting.
Stating that the committee's report was almost ready, Acharya said: "We sought further extension because of the recent Supreme Court judgement in regards to mining in Karnataka," he said.
"The committee feels that some of the provisions of the Supreme Court judgement on Karnataka mining activities may be applicable to other states also and the need to formulate a policy which will not be challenged in the court of law in future," Singh said.
More From This Section
The Minister also admitted that the local industries were facing raw material scarcity as the mine owners sale minerals to industries in other places or go for export.
With local industries facing raw material scarcity, the state steel and mines department through a resolution dated December 5, 2012 made it mandatory for mine lessees without end-use plants, to sell at least 50 per cent of their extracted iron ore to state based consuming industries.