Critical Minerals and Other Challenges

Critical Minerals and Other Challenges

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April 22, 2023

Through the assessment of the critical levels of 43 chosen minerals as per their economic significance, the Centre for Social and Economic Progress (CSEP) recently presented a working paper to extend the previous mineral assessment list of 23 minerals.

Details about critical minerals

               • About - These elements are building blocks of crucial present-day technologies and are susceptible to disruptions in supply chain. Critical minerals are used for making multiple products including mobile phones, electric vehicles, batteries, computers and environmental-friendly products like wind turbines and solar panels.

               • Critical minerals in India - The 22 assessed minerals like lithium, cobalt, graphite, nickel, strontium, antimony, gallium and niobium are critical for the country. A lot of them fulfil the manufacturing requirements of high-tech devices, national defence, aviation and green technologies. While the geological mineral potential within India is substantial yet there are many minerals which are not available.

Challenges

               • Limited reserves - For making renewable energy products, large bulks of minerals are needed that include manganese, indium, copper and zinc. Similarly, a changeover to electric vehicles requires large volumes of minerals like lithium, cobalt, copper, etc. However, many minerals are not available in India or the requirements may be higher compared to their availability so that imports become the only option to meet the local needs.

               • Inadequate listing: Many strategic and critical minerals are in the atomic minerals list of the Mines and Minerals Act, 1957. However, according to the existing policy, these minerals are reserved exclusively for public sector organisations.

Recommendations and Way Forward

               • Strengthening exploration - Mineral exploration and reconnaissance should be promoted with focused attention towards mineral deposits. It will require a collective effort from the bigger mining companies and the government.

               • Protecting the supply chain - Additionally, India should engage in bilateral and multilateral deals to build resilient and assured supply chains of critical minerals.

               • Periodic assessment - Moreover, there should be an updated assessment every three years within the country to determine the changing local and worldwide conditions.

               • National strategy for critical minerals - According to the identified minerals, a national strategy for critical minerals will help to determine priority areas in domestic policy, sustainability and mitigate supply risks.

Source - The Indian Express & The Government Accountability Office