India Strengthens Domestic Rare Earth Value Chain to Reduce Import Dependency: IREL Division Head Reveals

Indian Rare Earths Ltd is actively working on establishing a self-reliant value chain for rare earth materials across the country.

India is intensifying its efforts to bolster its rare earth resources and develop a comprehensive domestic value chain to minimize import dependence, according to V Chandrasekar, General Manager and Head of the Rare Earth Division at IREL India Ltd.

During the CII conference on "Building Resilient Rare Earth Metal (REM) Supply Chains Through Technology Localization" on Friday, Chandrasekar revealed to ANI that numerous Indian states including Tamil Nadu, Kerala, Odisha, and Andhra Pradesh possess "plenty of reserves of rare earths," and the company is "seriously working on improving resource availability."

Chandrasekar emphasized that India's increasing demand for rare earth elements directly correlates with emerging technologies. "We have a big role because we are talking about magnets, electrical vehicles, and wind turbines. Everywhere rare earths are required," he stated, highlighting the critical nature of these minerals for India's clean energy initiatives and manufacturing aspirations.

He further explained that IREL's current focus is developing a self-sufficient value chain rather than relying heavily on imports. "Importing is a huge difficulty now because of so many restrictions from China," Chandrasekar noted. "This is where we have to develop the value chain. Not only produce the ores, but develop a complete value chain in this country. And we are definitely working on it."

Chandrasekar stressed that partnerships among public sector undertakings (PSUs) could be instrumental in achieving this objective. "We have to have strategic tie-ups between the PSUs. Suppose I have the technology, somebody else has the funds, we get into strategic PSUs and then work like that. Depending on this, they give funds, I give the technology," he elaborated.

Having worked in the rare earth sector for over five decades, Chandrasekar affirmed that IREL continues to receive backing from both central and state governments. "We will definitely do whatever is best possible to see that we support the mission of the country. Definitely, we are getting the necessary support from the central government and State governments, yes, some more support is required," he added.

He also mentioned that India is receiving technical and cooperative assistance from other nations, particularly Vietnam and Kazakhstan. "We are getting some support from other countries like Vietnam and Kazakhstan," Chandrasekar concluded.