India, Australia to Enhance Cooperation in Critical Minerals and Processing

02 Jul 2024 CW Team

India and Australia are exploring ways to enhance cooperation in critical minerals, their processing, and battery production, according to Commerce Secretary Sunil Barthwal. He mentioned that both countries have signed an interim free trade agreement and are negotiating to expand it into a comprehensive pact.

At a conference on the roadmap for vehicle electrification, Barthwal discussed the potential integration of the Indian and Australian economies in areas such as battery production, mineral production, mineral processing, and vehicle production. He highlighted the steps taken by the Indian government to promote domestic manufacturing of electric vehicles (EVs) and to strengthen the supporting ecosystem, including the enhancement of charging infrastructure.

Australian High Commissioner to India, Philip Green OAM, spoke at the event, emphasizing Australia's significant mineral and energy resources that can support India's "Make in India" initiative. He pointed out that Australia is a leading producer of critical minerals, including being the largest producer of lithium and the second-largest producer of cobalt globally. Green expressed Australia's desire to facilitate easier access for India to these critical minerals and other resources that can aid India's green transition. He stressed that achieving this goal would require a comprehensive free trade agreement.

Critical minerals like copper, lithium, nickel, cobalt, and rare earth elements are vital for the rapidly growing clean energy technologies, such as wind turbines, electricity networks, and electric vehicles. The demand for these minerals is increasing as the clean energy transition accelerates.

Barthwal also mentioned that India, like Australia, has signed a trade pact with the European Free Trade Association (EFTA), of which Norway is a key member.

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