India has approved a finance package worth 163 billion rupees ($1.88 billion) to boost its key mining sector. The information minister made the statement on Wednesday. This approach is consistent with India’s aim to obtain important raw resources, particularly lithium, which is critical for energy transition technologies.
According to reports, the federal Ministry of Mines had allocated this amount. The government also expects the public sector to invest an additional 180 billion rupees in vital mineral development projects.
According to an official release, the mission’s goal is to accelerate the exploration of vital minerals on land and offshore. In addition, cash incentives will be offered to stimulate mineral prospecting.
The financing supports India’s efforts to lessen reliance on imported minerals. Currently, the country is significantly reliant on external sources, particularly for lithium, a critical component in battery technology. While China dominates lithium processing, India is seeking to build its own capacity.
To do this, New Delhi has contacted countries such as Australia, Russia, and the United States for technical assistance in lithium processing.
In 2023, India designated 30 minerals, including lithium, as “critical” to help its energy transformation and industrial growth, lowering its dependency on imports.
