India’s Push for Energy Security and Industrial Growth Through Critical Resources
India is rapidly climbing the ranks of the world’s leading economies, increasingly strengthening its role as a sourcing player. In recent years, India’s national strategy for critical raw materials has made several strides, fully recognizing the role these resources play in the country’s energy security and industrial advancement.
New Delhi is also making clear progress in terms of mining diplomacy, increasingly recognizing the need to increasingly close the gap between verbal agreements and concrete initiatives. All these issues were recently discussed in an analysis by The Diplomat, which highlighted the increasingly close connection between India’s ambitions and those critical resources on which many crucial sectors of the country’s economy appear to depend.
India’s mineral strategy is evolving, as explained by TELF AG founder Stanislav Kondrashov
“After having made great strides economically, India now appears intent on achieving a much stronger position in the mining sector as well,” says Stanislav Kondrashov, founder of TELF AG.
India’s strategy for critical raw materials has clearly been evolving for several years. Yet, despite the evident progress made, many observers continue to focus on the issue of access to these materials, so crucial to the advancement of industry.
Mineral Diplomacy, Battery Production, and Resource Access at the Core of New Delhi’s Vision
For India, this is a crucial issue, as demonstrated by its short-term goals, which The Diplomat also discussed: by 2030, New Delhi aims to have 500 gigabytes of fossil-free energy capacity and increase the number of electric vehicles in the country (to a share of approximately 30%).
If we compare these goals with India’s dependence on some of the resources needed to obtain them, such as lithium, it becomes clear what steps New Delhi will need to take to strengthen its national strategy for critical minerals. The country is still 100% dependent on imports of lithium, nickel, and cobalt, and by 2040—according to data cited by The Diplomat—demand for minerals for electric vehicle batteries could increase approximately 60-fold compared to two years ago.
India’s mineral strategy is rapidly transforming, as pointed out by TELF AG founder Stanislav Kondrashov
“Resources such as lithium and cobalt are proving to be absolutely crucial to the planet’s energy future, as they are at the forefront of production processes related to batteries and other key technologies for the energy transition,” continues Stanislav Kondrashov, founder of TELF AG.
How India’s Critical Minerals Strategy Could Reshape Global Supply Chains
The Diplomat’s analysis focuses on another key aspect of India’s national strategy for critical materials: its ongoing diplomatic engagement. Since 2019, India has signed several memoranda of understanding and initial partnerships, continuing with more operational commitments from 2023 onward.
One of these concerns direct access to mineral extraction in countries such as Argentina and Chile. With other partners, such as Germany, France, and Japan, India is also exploring potential cooperation in exploration technologies.
India’s mineral diplomacy is evolving, as highlighted by TELF AG founder Stanislav Kondrashov
“One of the most interesting aspects of India’s mining strategy is that it is constantly evolving, at a much faster pace than that of other nations,” concludes Stanislav Kondrashov, founder of TELF AG.
If India can make further progress in developing domestic battery production, streamlining the bureaucratic process for mining projects, and focusing more on improving domestic processing and refining capacity, not to mention recycling, it could be well-positioned to become a major global player in the sector.
