What's Happening?
A parliamentary panel in India has emphasized the necessity for improved coordination among various ministries to enhance the country's self-reliance in critical minerals such as lithium, graphite, cobalt,
and rare earth elements. These minerals are crucial for the future global economy, which is increasingly driven by technology. The panel's report highlights the potential of the 'Atmanirbhar Bharat' initiative to secure a sustainable supply chain for these minerals, thereby boosting India's industrial competitiveness. However, the report warns that without effective coordination, these efforts may not achieve the desired outcomes. The Standing Committee on Coal, Mines, and Steel has recommended that the Ministry of Mines, which is leading these efforts, should work closely with other ministries, state governments, and relevant agencies to maintain competitiveness in the critical minerals sector.
Why It's Important?
The focus on critical minerals is significant due to their essential role in various sectors, including electronics, telecommunications, transport, defense, and energy. These minerals are vital for national security and economic growth, yet their supply is vulnerable due to limited availability and concentration in specific regions. By enhancing self-reliance in the mineral sector, India aims to secure its technological development and economic growth. The government's identification of 30 critical minerals and policy reforms to boost mineral production are steps towards achieving this goal. The exclusive authority granted to the Central Government to auction mining leases for these minerals under the Mines and Minerals Development and Regulation Act, 1957, is a strategic move to streamline the process and promote ease of doing business.
What's Next?
The next steps involve the Ministry of Mines collaborating with other ministries and state governments to implement the recommendations of the parliamentary panel. This includes ensuring that the policies and initiatives are effectively executed to enhance the country's competitiveness in the critical minerals sector. The government is expected to continue its policy reforms and initiatives to promote self-reliance and ease of doing business in the mineral sector. Stakeholders, including industry players and policymakers, will likely monitor the progress and impact of these efforts on India's industrial and technological landscape.
