Question of the Day – Global Hunt for critical minerals
QOTD March 5,2026
With reference to India’s hunt for critical minerals, consider the following statements:
- India is fully self-sufficient in lithium, cobalt and nickel due to recent discoveries.
- The government has amended the Mines and Minerals (Development and Regulation) Act to allow mining concessions for critical minerals.
- India has launched auctions for critical mineral blocks including lithium deposits.
Which of the statements given above is/are correct?
(a) 2 and 3 only
(b) 1 and 2 only
(c) 1 and 3 only
(d) 1, 2 and 3
Answer: (a)2 and 3 only
Explanation:
Statement 1-Incorrect
India still remains heavily import-dependent for minerals like lithium, cobalt and nickel, despite new discoveries such as lithium in Jammu & Kashmir.
Statement 2-Correct
The MMDR Act was amended to allow exploration and mining concessions for critical minerals and enable better regulation of their supply.
Statement 3-Correct
India has started auctioning critical mineral blocks, including lithium deposits, though early rounds faced limited investor participation.
Why in news–
The issue was in the news because the Government of India has recently accelerated efforts to secure critical minerals required for clean energy technologies, electric vehicles, electronics and defence manufacturing. India identified 30 critical minerals and started auctioning several mineral blocks including lithium and rare earth elements to reduce import dependence. The topic gained attention after initial rounds of auctions for critical mineral blocks saw limited private sector participation, raising concerns about investment and exploration challenges.
At the same time, India is expanding overseas mineral acquisition through Khanij Bidesh India Limited (KABIL) and partnerships with resource-rich countries such as Australia, Argentina and Chile. These steps are also linked to India joining initiatives like the Minerals Security Partnership (MSP) to diversify global supply chains. The news therefore discusses India’s progress, challenges and policy measures in securing critical mineral supply for its energy transition and industrial growth.
News-How is India’s hunt for critical minerals going? | Explained – The Hindu
There are more questions from this topic that you should practice to make your concepts stronger.
Practice Questions (PQ)
PQ1. With reference to the Minerals Security Partnership (MSP), consider the following statements:
- It is a multilateral initiative aimed at securing supply chains of critical minerals for clean energy technologies.
- India became a member of this partnership in 2023.
- The initiative is coordinated by the International Energy Agency (IEA).
Which of the statements given above is/are correct?
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
Answer: (a)1 and 2 only
Explanation
Statement 1-Correct
The Minerals Security Partnership is a strategic initiative involving several countries to ensure reliable and sustainable supply chains for minerals like lithium, cobalt, nickel and rare earths needed for EVs, batteries and renewable technologies.
Statement 2-Correct
India joined the MSP in 2023, which allows it to collaborate with partner countries on mining, processing and supply chains of critical minerals.
Statement 3-Incorrect
The MSP is not coordinated by the International Energy Agency. It is led primarily by the United States and partner countries to counter supply chain concentration in a few nations.
PQ2. Consider the following statements regarding the Lithium Triangle:
- It refers to lithium-rich regions located in Argentina, Bolivia and Chile.
- The region contains a large share of the world’s lithium resources found in brine deposits.
- Brazil is geographically part of the Lithium Triangle.
Which of the statements given above is/are correct?
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
Answer: (a)1 and 2 only
Explanation:
Statement 1-Correct
The Lithium Triangle refers to a region in Argentina, Bolivia and Chile, which together hold some of the largest lithium reserves in the world.
Statement 2-Correct
Most lithium here occurs in salt-flat brine deposits, from which lithium is extracted through evaporation and processing. This region accounts for a major share of global lithium resources.
Statement 3-Incorrect
Brazil is not part of the Lithium Triangle, although it has lithium deposits. The term specifically refers only to Argentina, Bolivia and Chile.
PQ3. With reference to Rare Earth Elements, consider the following statements:
- Rare earth elements are essential for manufacturing wind turbines, electric vehicles and advanced electronics.
- China dominates global processing and refining of rare earth elements.
- India lacks rare earth resources and therefore has no domestic reserves of these elements.
Which of the statements given above is/are correct?
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
Answer: (a) 1 and 2 only
Explanation:
Statement 1-Correct
Rare earth elements are used in high-strength magnets, batteries, wind turbines, electronics and defence technologies, making them critical for modern industry.
Statement 2-Correct
China dominates the processing and refining stage of rare earth supply chains, controlling a very large share of global processing capacity.
Statement 3-Incorrect
India does have significant rare earth reserves, especially in monazite sands along coastal regions, although the country lacks advanced processing capacity compared with China.
Previous Year Question (UPSC Prelims)
Monazite and Rare Earth Elements
With reference to India, consider the following statements:
- Monazite is a source of rare earths.
- Monazite contains thorium.
- Monazite occurs naturally in the entire Indian coastal sands in India.
- In India, government bodies only can process or export monazite.
Which of the statements given above are correct?
(a) 1, 2 and 3 only
(b) 1, 2 and 4 only
(c) 3 and 4 only
(d) 1, 2, 3 and 4
Answer: (b)1, 2 and 4 only
Explanation
Statement 1-Correct
Monazite is a phosphate mineral that contains rare earth elements such as cerium, lanthanum and neodymium.
Statement 2-Correct
Monazite is also an important source of thorium, which is relevant for India’s nuclear energy programme.
Statement 3-Incorrect
Monazite occurs mainly in coastal placer sands of Kerala, Tamil Nadu, Andhra Pradesh and Odisha, not the entire Indian coastline.
Statement 4-Correct
Because monazite contains radioactive thorium, its processing and export in India are restricted to government agencies.
