Critical Minerals: A Road to Future, Beej Utsavs, Ratna Bhandar of Lord Jagannath Temple, Puri

(General Studies III – Economy Section – Indian Economy and issues relating to Planning, Mobilization of Resources, Growth, Development and Employment. Inclusive Growth and issues arising from it.)

• Critical minerals are those minerals that are essential for economic development and national security, the lack of availability of these minerals or concentration of extraction or processing in a few geographical locations may lead to supply chain vulnerabilities and even disruption of supplies.
• They along with some rare earth elements, are essential for the world’s ongoing efforts to switch to greener and cleaner energy.

Critical Minerals and their role in Green Transition –

• As per International Energy Agency (IEA), the supply of minerals critical to the green energy transition could move close to levels needed to support climate pledges by 2030.
• Batteries, electric vehicles (EV), solar panels, windfarms, and transmission lines will all require vast volumes of critical minerals—cobalt, lithium, graphite, nickel, manganese, and rare earths.
• Critical minerals play a significant role in decarbonisation.

They are also required for fertilisers, construction, magnets for industries, transport, consumer electronics, defence, etc.

Significance of Critical Minerals –

1. Economic Development: Industries such as high-tech electronics, telecommunications, transport, and defence heavily rely on these minerals. Additionally, critical minerals are essential for green technologies like solar panels, wind turbines, batteries, and electric vehicles.
2. India’s significant domestic demand and potential in these sectors, their growth can lead to job creation, income generation, and innovation.
3. National Security: These minerals are vital for defence, aerospace, nuclear, and space applications, necessitating the use of high-quality and reliable materials capable of withstanding extreme conditions and performing complex functions.
4. Environmental Sustainability: By 2030, India wants to set up 500 GW of non-fossil fuel power generating capacity. The availability of critical minerals (and rare earths) is crucial as it has massive plans to become net-zero by 2070.

Different Concerns Related to Critical Minerals in India –

1. Resources nationalism is increasing: Nationalization of critical resources or sudden high levies on—mining companies is already increasing as resources-rich countries see their critical minerals as a means to exert more geopolitical influence. E.g. Latin America, which accounts for two-fifth of the world’s copper, a quarter of its nickel, and over half of its lithium reserves.
2. Mexico also recently changed its mining code, substantially reducing the duration of mining concessions.
3. Limited Domestic Reserves: India has limited reserves of critical minerals such as lithium, cobalt, and other rare earth elements.
4. India heavily relies on imports for critical minerals like lithium and nickel, with 100% import reliance for lithium and nickel, and 93% for copper.
5. Concentration of Critical Minerals in Select Countries: Australia has 55% of lithium reserves, China has 60% of the rare earths, Democratic Republic of Congo (DRC) has 75% of cobalt, Indonesia has 35% of nickel, Chile has 30% of copper reserves.
6. Geopolitical Tensions and Potential Risk of Supply:  It is important to address these challenges because global relations between nations have become more polarised, especially due to events like the US-China trade war and the Russia-Ukraine war. These conflicts have led to sanctions and disruptions in established trade patterns.
7. Supply-Demand Dynamics: This rise in material prices will likely disrupt the production costs of devices like solar panels and electric vehicle.

Steps Taken by India to Promote Production –

• Adopting a Robust Three-Stage Process in Identification:
• Identifying the minerals critical to India, the panel, in the first stage, looked at the strategies of various countries such as Australia, USA, Canada, UK, Japan and South Korea.
• An inter ministerial consultation
• To derive an empirical formula for evaluating minerals criticality, taking cognizance of the EU methodology that considers two major factors – economic importance and supply risk.
• Setting Up Khanij Videsh India Ltd. Itis mandated to identify and acquire overseas mineral assets of critical and strategic nature such as lithium, cobalt and others so as to ensure supply side assurance.
• Allowing private sector in mapping, exploration and mining of critical minerals.
• US-led Minerals Security Partnership (MSP) India, too, has joined the MSP. The aim of the MSP is to bolster the critical minerals supply chain.

Path to decarbonisation and achieving net-zero goals by 2070 hinges significantly on overcoming these challenges and ensuring a sustainable supply of critical minerals. However, challenges exist, such as the concentration of resources in a few countries and China’s dominant position in processing and manufacturing. The government needs to take proactive actions regarding critical minerals to secure a steady supply of these essential resources.

• Labourers died of asphyxiation inside an illegal coal mine in Gujarat.
• Officials stated that the police have registered a case of culpable homicide against four individuals accused of failing to provide essential safety gear, leading to the labourers’ deaths from toxic gas inhalation.
• Asphyxiation is a condition caused by the deprivation of oxygen to the body, leading to unconsciousness or death if not promptly addressed.
• This can occur due to various factors such as choking, drowning, inhaling toxic gases, or being in environments with insufficient oxygen levels.
• Symptoms of asphyxiation include shortness of breath, blue-tinged skin, confusion, and loss of consciousness.
• Immediate intervention, such as removing the person from the hazardous environment, clearing the airway, or administering CPR, is crucial to prevent severe injury or death.

Dig Deeper: Read about Manual Scavenging in India.

• A recent publication by the Botanical Survey of India (BSI) sheds light on the flora and landscapes along the historic Silk Route in South Asia.

• Authors studied the 210-km route from Siliguri in Darjeeling to Kalimpong, Nathu La, Gangtok and reaches Lhasa in Tibet.
• Among the notable plants documented are the endangered Windamere palm (Trachycarpus latisectus) found in Kalimpong, and Rhododendron niveum, Sikkim’s state tree, which thrives in the Kyongnosla Alpine Sanctuary.
• The balsam, Impatiens sikkimensis, and Daphne ludlowii were historically used for making paper for Buddhist manuscripts.
• This route was the shortest path from medieval Bengal to Lhasa, with goods reaching Tamralipti (now Tamluk) port in Bengal and then transported by sea to Sri Lanka, Southeast Asia, and the Far East.

• British botanist J.D. Hooker, who studied Sikkim’s flora in 1848 and discovered 32 species of rhododendrons. This botanical exploration is deeply connected to the region’s politics, as botanists opened up the little-known Himalayan kingdom to the world.
• In 1903-04, Col. Francis Younghusband led the first European expedition to Tibet along the same route, further intertwining the region’s botanical and political history.

Dig Deeper: Read about Himalayan Passes which connect India’s northeast to Tibet.

• A popular movement to preserve indigenous seed varieties, many on the verge of extinction, is thriving in the tribal regions of southern Rajasthan, promoting crop diversity and climate resilience.
• Thousands of tribal people from nearly 1,000 villages at the tri-junction of Rajasthan, Madhya Pradesh, and Gujarat participated in Beej Utsavs (seed festivals).
• Indigenous seeds are an important legacy preserved by tribal communities amidst the growing influence of multinational companies in agriculture.
• Beej Utsav is part of our campaign to promote locally adapted seeds as a replicable practice, as per Vaagdhara, the main organiser of the events.
• Vaagdhara, focused on tribal livelihoods, collaborated with other tribal rights groups like Krishi Evum Adivasi Swaraj Sangathan, Gram Swaraj Samooh, Saksham Samooh, and Baal Swaraj.
• The indigenous seed varieties are inherently compatible with local farming conditions, economically practical, and environmentally sustainable.
• Over 50 indigenous seed varieties, including grains, pulses, and vegetables, were displayed and catalogued at the Beej Utsav events.
• Farmers who diligently preserved seeds in their areas were honoured as Beej Mitra (Seed Friends).

Dig Deeper:  Read about similar Seed Festivals arranged in various states and about Rahibai Popere.

• The Department of Consumer Affairs has decided to amend the Legal Metrology (Packaged Commodities) Rules, 2011, to ensure mandatory declaration of all information on pre-packaged commodities used for retail sale.
• This decision follows reports that packaged commodities above 25 kg are available for retail sale without mandatory declarations on the packages.
• The Centre announced that the amendment will clarify the requirements for manufacturers, packers, and importers of packaged commodities of any quantity intended for retail sale.
• However, the rules do not apply to packaged commodities meant for industrial or institutional consumers.
• The revised provision aims to establish uniform standards and requirements for packaged commodities, promoting consistency and fairness across different brands and products, thereby helping consumers make informed choices.
• The department has invited comments from stakeholders.

Dig Deeper: What Consumer Rights are guaranteed under the Consumer Protection Act, 2019?

• After 46 years of legal battles, controversies, and debates, the Ratna Bhandar, or sacred treasury, of the Shree Jagannath Temple in Puri was opened.
• Exercise was carried out after a series of rituals, joined by snake catchers, a medical team, and disaster response personnel.
• The last inventory in 1978 recorded hundreds of ornaments belonging to the three sibling deities: Lord Balabhadra, Lord Jagannath, and Devi Subhadra.
• In 2008, the Archaeological Survey of India inspected the Ratna Bhandar but did not enter the inner chamber.
• The Odisha government formed a high-level committee under former Orissa High Court judge Justice Biswanath Rath (retd.) to oversee the cataloguing of valuables.
• The committee decided to open the Ratna Bhandar, implementing various standard operating procedures and cataloguing measures for the ornaments and valuables

Dig Deeper: Read about the Puri Shri Mandir Heritage Corridor Project and Monument of national importance in the context of Ancient Monuments and Archaeological Sites and Remains Act.