India Expands Global Partnerships for Critical Minerals Security
India is actively engaged in high-level discussions with Brazil, Canada, France, and the Netherlands to establish comprehensive agreements for the joint exploration, extraction, processing, and recycling of critical minerals. This strategic move underscores India's intensified efforts to secure essential raw materials crucial for its ambitious energy transition goals and long-term economic development.
Focus on Lithium and Rare Earth Elements with Technology Transfer
The ongoing confidential talks, as reported by sources to Reuters, are primarily centered on lithium and rare earth elements. A key component of these negotiations involves India seeking access to advanced mineral-processing technologies from these partner nations. This initiative is a direct response to the global over-reliance on China, which currently dominates the mining and processing sectors for several critical minerals. By diversifying its supply chains, New Delhi aims to bolster its industrial and infrastructure resilience.
Reducing Chinese Dependence and Accelerating the Energy Transition
India's diplomatic outreach aligns with its accelerated plans to reduce carbon emissions and meet the surging demand from its industrial and infrastructure sectors. Mining experts caution that while partnerships are vital, mining projects are inherently long-term endeavors. Exploration phases alone typically span five to seven years and do not always culminate in commercially viable production. This reality highlights the urgency and strategic nature of India's current negotiations.
According to sources, India is looking to replicate successful elements from a critical minerals agreement it signed with Germany in January 2024. That pioneering pact encompasses:
- Joint exploration and processing activities
- Development of recycling technologies and infrastructure
- Collaborative acquisition and development of mineral assets within both countries and in third nations
Ministry of Mines Leads Outreach; Canada Deal Progresses
The Ministry of Mines is spearheading this international effort. One source confirmed, "There are requests and we are talking to France, Netherlands and Brazil while the agreement with Canada is under active consideration." The potential agreement with Canada is particularly significant, with Prime Minister Mark Carney expected to visit India in early March. This visit may see the signing of several key deals related to:
- Uranium and energy cooperation
- Critical minerals partnerships
- Collaboration in artificial intelligence sectors
Canada's Natural Resources Department has referenced a January statement indicating both nations agreed to formalize their cooperation on critical minerals in the coming weeks.
Part of a Wider Global Strategic Shift
India's expanded engagement forms part of a broader global push by major economies to secure alternative supplies of critical minerals and reduce dependency on China. This was a key topic at a recent meeting of G7 and other finance ministers in Washington. India's strategy is already well-established, having previously signed critical minerals agreements with:
- Argentina
- Australia
- Japan
Furthermore, India is in concurrent talks with Peru and Chile regarding broader bilateral pacts that include provisions for critical mineral resources. In 2023, India formally identified over 20 minerals, including lithium, as "critical" for its energy transition and future economic security, formalizing the strategic importance of these ongoing international partnerships.
