PHDCCI Seeks Creation Of Critical Minerals Dept, Calls For Aggressive Resource Diplomacy

The PHD Chamber of Commerce and Industry (PHDCCI) has urged the Centre to establish a dedicated Department of Critical Minerals and adopt a policy of “aggressive mineral diplomacy” to safeguard India’s economic interests amid mounting global supply-chain risks.

At a brainstorming session hosted by the chamber, industry experts underscored the urgency of developing a complete value chain for critical minerals—covering exploration, extraction, refining, value addition, and marketing—similar to the integrated strategy followed by China under its National Mission framework.

Anil Chaudhary, Senior Member of the Minerals & Metals Committee at PHDCCI and former Chairman of SAIL, lauded the government for shortlisting 30 critical minerals but insisted that coking coal be added to the list.

“India has been importing 90 per cent of the coking coal requirement, worth $15 billion, every year, which is likely to double in the next 10–12 years,” Chaudhary cautioned.

He further noted that critical mineral supplies are increasingly vulnerable to geopolitical tensions and trade restrictions, adding that India must build strategic partnerships with smaller, resource-rich nations such as Congo, Mozambique, Afghanistan, and several Latin American countries to cut reliance on China.

Speakers at the event also pressed for stronger coordination among ministries, stockpiling of key minerals, and the creation of buffer inventories, akin to how the United States manages its oil and gas reserves. They emphasised simplifying regulations and offering incentives to private players for exploration, extraction, and downstream processing.

Deepak Bhatnagar, Secretary General of the Pellet Manufacturers’ Association of India, advocated a mission-driven approach for the sector.

“We need a holistic and time-bound mission-mode approach for the development of critical minerals, on the lines of Mission Agni started by former President Dr APJ Abdul Kalam,” he said.

Linking the minerals strategy to India’s clean energy ambitions, Abhinav Sengupta, Associate Director at PricewaterhouseCoopers, pointed out that renewable technologies and electric vehicles (EVs) are far more resource-intensive than their conventional counterparts.

“The energy transition will be critical mineral-intensive, as EVs are six times more mineral-intensive than conventional vehicles due to batteries, and solar PV and onshore wind are around three times more mineral-intensive than conventional sources,” Sengupta explained.

Experts agreed that without a structured policy framework and international partnerships, India’s renewable energy, defence, and advanced manufacturing goals could face major hurdles.

They urged the government to adopt a comprehensive national mission integrating technology-led exploration, resource diplomacy, and private sector collaboration to secure India’s long-term mineral security and industrial competitiveness.

  china, india, mineral diplomacy, rare earths