Strengthening India-U.S. Cooperation on Critical Minerals

Strengthening India-U.S. Cooperation on Critical Minerals

India and the United States are making significant strides in their strategic partnership to enhance collaboration on critical minerals. This initiative focuses primarily on the supply chains of graphite, gallium, and germanium, and is part of the India-U.S. Initiative for Critical and Emerging Technology (iCET) dialogue, which is chaired by the National Security Advisers of both nations.

Key Objectives and Strategies

• Bilateral Agreement: The U.S. Department of Commerce is working closely with India’s Ministry of Commerce and Industry and Ministry of Mines to finalize a bilateral agreement aimed at boosting cooperation on critical minerals.
• Promoting India’s Role: The partnership emphasizes India’s essential role in the mineral security landscape by co-investing in lithium resource projects in South America and rare earth deposits in Africa. This strategy aims to responsibly and sustainably diversify critical mineral supply chains.
• Expanding Exploration: India has identified 30 critical minerals crucial for its needs and is actively pursuing opportunities to acquire mines abroad while also enhancing domestic exploration capabilities. The Mines and Minerals (Development and Regulation) Act, 1957 was amended in 2023 to facilitate this expansion.
• KABIL Joint Venture: India has initiated Khanij Bidesh India Ltd. (KABIL), with contributions from National Aluminium Company Ltd, Hindustan Copper Ltd, and Mineral Exploration and Consultancy Ltd. KABIL aims to secure critical mineral assets overseas, including lithium and cobalt in Australia, Argentina, and Chile.
• Mineral Security Partnership: India is now a participant in the U.S.-led mineral security partnership, which enhances cooperation in securing critical mineral supply chains through investments in resource-rich nations.

Advanced Materials Research and Development

• Research Collaboration: An India-U.S. advanced materials research and development forum will be created to foster collaboration between American and Indian universities, national laboratories, and private sector researchers.
• Technological Collaboration: The partnership will explore bilateral cooperation in technologies related to neodymium-iron-boron metal, alloy, and magnet manufacturing, including potential collaboration with U.S. Department of Energy entities.

Conclusion

The strengthened collaboration between India and the U.S. on critical minerals under the iCET initiative marks a pivotal move towards securing and diversifying the supply chains for essential minerals. This partnership not only enhances India’s mineral security but also promotes the responsible and sustainable management of global critical mineral resources.

Frequently Asked Questions (FAQs)

Q1. What is the focus of the India-U.S. partnership on critical minerals?
Answer: The partnership focuses on enhancing cooperation in the supply chains of critical minerals, particularly graphite, gallium, and germanium, to ensure mineral security and sustainability.

Q2. What is KABIL and its role in the partnership?
Answer: KABIL, or Khanij Bidesh India Ltd., is a joint venture aimed at acquiring critical mineral assets abroad, including lithium and cobalt, to support India's mineral security strategy.

Q3. How does the partnership promote India's role in mineral security?
Answer: The partnership promotes India's role by co-investing in projects in resource-rich countries to diversify and secure critical mineral supply chains responsibly.

Q4. What legislative changes support India's exploration of critical minerals?
Answer: The amendment of the Mines and Minerals (Development and Regulation) Act in 2023 facilitates India's expansion in exploring and acquiring critical minerals both domestically and internationally.

Q5. How will research collaboration benefit the India-U.S. partnership?
Answer: Research collaboration will enhance innovation and development in advanced materials through a forum that connects universities and researchers from both countries, fostering technological advancements.

UPSC Practice MCQs

Question 1: What is the primary goal of the India-U.S. partnership on critical minerals?
A) To enhance cultural exchange
B) To secure and diversify critical mineral supply chains
C) To promote tourism
D) To decrease trade barriers
Correct Answer: B

Question 2: What does KABIL stand for in the context of mineral security?
A) Khanij Bidesh India Ltd.
B) Knowledge and Investment in Bilateral Alliances
C) Kinetic Assets for Indian Lithium
D) Key Alliance for Business Investments in Lithium
Correct Answer: A

Question 3: Which critical minerals are highlighted in the U.S.-India partnership?
A) Gold and Silver
B) Graphite, Gallium, and Germanium
C) Copper and Iron
D) Zinc and Lead
Correct Answer: B

Question 4: What recent amendment supports India's mineral exploration efforts?
A) Mines and Minerals (Development and Regulation) Act, 1972
B) Mines and Minerals (Development and Regulation) Act, 1957
C) Mines and Minerals (Development and Regulation) Act, 2003
D) Mines and Minerals (Development and Regulation) Act, 2020
Correct Answer: B

Question 5: What type of collaboration is being established between American and Indian researchers?
A) Cultural exchange program
B) Advanced materials research and development forum
C) Sports collaboration
D) Trade agreements
Correct Answer: B