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A report by the Institute for Energy Economics and Financial Analysis (IEEFA) highlights India's heavy reliance on imports for minerals vital to its energy transition, including lithium, cobalt, and nickel, with 100% dependence on imports for these resources. The country’s demand for critical minerals is projected to more than double by 2030, while domestic mining could take over a decade to begin production.
The study recommends India pursue new international sources and strengthen bilateral ties with mineral-rich countries like Australia, Chile, Ghana and South Africa. India is also advised to diversify copper and nickel suppliers away from Japan and Belgium, with the United States identified as a potential alternative for copper imports.
China currently dominates India's graphite imports, but collaboration with major graphite-producing nations such as Mozambique, Madagascar, Brazil, and Tanzania could help reduce this dependency. The report also urges investment in domestic lithium refining to integrate with global supply chains and support the country's renewable energy goals, which include reaching 500 gigawatts (GW) of non-fossil fuel capacity by 2030.
The Indian government’s efforts to auction mining blocks and establish a Critical Minerals Mission could serve as steps towards reducing import reliance, provided there is support for technology development and funding.