Delhi, 17 October (H.S.):
The Indian government is actively pursuing a multi-pronged strategy to secure its supply of rare earth and critical minerals, Union Minister for Commerce and Industry Piyush Goyal announced on Friday.
The measures include negotiating trade agreements with Chile and Peru, promoting domestic exploration, and fostering startups in the recycling and processing sectors.
Addressing the 105th Annual General Meeting of the Associated Chambers of Commerce and Industry (ASSOCHAM), Goyal emphasized that India now negotiates from a position of strength, ensuring all trade partnerships are balanced and mutually beneficial.
This strategic approach enables India to protect its domestic industries, boost exports, and create opportunities for investment and technology cooperation, he stated, noting that recent Free Trade Agreements (FTAs) with the UAE, Mauritius, Australia, and the EFTA bloc are already enhancing India's exports.
Goyal highlighted that rare minerals such as copper, lithium, nickel, and cobalt are essential raw materials for numerous industries, ranging from electronics to fighter jets, and are pivotal for the rapidly growing clean energy, electric vehicle, and battery manufacturing sectors.
He confirmed that an Indian team is scheduled to visit Chile and Peru for the next round of trade negotiations, with access to these critical minerals being a key driver for the talks.In a veiled reference to China, which has imposed export restrictions on rare earth elements, the minister advised Indian industry to diversify its supply chains.
We must evaluate our supply chains to see if they are overly dependent on a single country. If so, we could be vulnerable, especially at a time when trade is being used as a weapon, Goyal cautioned.
To bolster domestic capabilities, the government is also focused on increasing internal exploration, supporting startups that can extract minerals from residual waste, and building indigenous processing facilities.
Goyal also mentioned that guidelines are being prepared for a ₹10,000 crore 'Fund of Funds' scheme to provide long-term financial support to startups. Underscoring the nation's robust economic fundamentals, he pointed out that India's foreign exchange reserves remain strong at nearly USD 700 billion.
---------------
Hindusthan Samachar / Jun Sarkar
