Brics nations call for resilient critical mineral supply chains

New Delhi Declaration calls for diversified and sustainable supply chains, benefit sharing and value addition in resource-rich countries as demand for clean-energy minerals rises

Brics countries on Saturday called for reliable, diversified and resilient supply chains for critical minerals, underlining the strategic importance of these resources for clean-energy technologies and energy security and opening scope for greater cooperation among resource-rich nations and consuming economies.

 

The New Delhi Declaration, adopted unanimously by BRICS countries, said critical-mineral supply chains should be “reliable, responsible, diversified, resilient, fair, sustainable, and just”.

 

The grouping also stressed the need for such supply chains to ensure benefit sharing, value addition, and economic diversification in resource-rich countries, while preserving their sovereign rights over mineral resources.

 

The declaration comes at a time when countries are seeking to reduce concentration risks in critical-mineral supply chains, particularly in processing and refining, amid rising demand for minerals used in electric vehicles, batteries, renewable energy, and other low-emission technologies.

  

“This will be very relevant for India if it can elevate critical minerals on the BRICS 2026 agenda, and it can be a strategic masterstroke for resource security,” said Manas Majumdar, partner and leader, oil & gas, fuels and resources, PwC India.

 

According to Majumdar, Brics countries such as Brazil, Russia, and South Africa collectively account for about 37 per cent of global mineral reserves, while China has a disproportionately large share of refining capacity, processing around 91 per cent of rare earths and more than 70 per cent of cobalt and lithium.

 

For India, therefore, a greater Brics role in critical minerals could help diversify sources of supply and reduce vulnerabilities in clean-technology and energy-transition supply chains.

 

“India can champion a Brics collaboration framework focused on joint exploration, midstream technology sharing, and recycling; quite akin to the Quad Critical Minerals Initiative,” Majumdar said.

 

The Federation of Indian Mineral Industries (FIMI) said the grouping could connect resource-rich countries with India’s growing capabilities in mining, processing and manufacturing.

 

“Brics can play an important role in strengthening India’s critical-mineral security by connecting resource-rich countries with India’s growing capabilities in mining, processing and manufacturing,” a FIMI spokesperson said.

 

The focus, however, should move beyond conventional trade in minerals towards commercially viable partnerships covering exploration, investment, technology and long-term supply, the industry body said.

 

“India should use this platform to diversify sources, develop value chains and reduce strategic supply risks,” the spokesperson added.

 

The declaration also recognised the key role of critical minerals in the development of zero- and low-emission energy technologies, energy security and the resilience of energy supply chains.

 

For India, the Brics platform could provide an additional avenue to pursue overseas mineral assets and build processing and manufacturing partnerships with resource-rich member countries, while supporting efforts to establish more diversified critical-mineral supply chains.