India’s rare earth potential high, focus shifts to processing capability
India has been identified by World Energy Council Chairman Adnan Amin as having substantial potential to become a key player in the global supply chain for rare earth elements, provided it focuses on building up processing and refining capabilities.
Amin pointed out that although these minerals are often labelled “rare earths”, they are “really not that rare” and are present in many locations including India. The real barrier lies in developing the industrial and technological ecosystem that transforms raw minerals into usable critical-materials for energy transition applications.
He compared India’s situation with that of China, which over the last two decades has built a dominant ecosystem in rare earth processing and securing supply chains. Amin emphasised that India needs to replicate such a model by scaling industrial base, refining infrastructure, and establishing local capacity.
With the global demand for critical minerals like rare earths, copper and lithium soaring, especially driven by renewable energy, electric vehicles and advanced electronics, India’s strategy must go beyond mere extraction of resources. According to Amin, the country must focus on refining, processing and innovation rather than only on mining.
India’s current challenge is that while it has reserves and raw material availability, the value-addition chain (processing, separation, purification, manufacturing of specialized components) remains weak. Analysts say that unless processing is scaled up, India risks remaining a commodity supplier rather than a major industrial hub in the critical-minerals era.
In conclusion, Amin’s remarks underline a strategic window of opportunity for India: with global supply-chain disruptions and diversification away from China, India can position itself as a trusted supplier—but only if it strengthens domestic capabilities and infrastructure in rare-earth processing.
