BackExplained | New lithium deposits to help India reduce dependency on China? Here's how
The Geological Survey of India and mining officials claim that the capacity of lithium reserves found in Rajasthan is higher than the reserve discovered in Jammu and Kashmir earlier this year.
PremiumAfter India's second lithium reserve was discovered in Rajasthan's Degana town earlier today, experts and mining officials believe that the country's dependency on China for manufacturing mobile-laptop, electric vehicles (EV) and other chargeable batteries will reduce significantly, according to media reports.
So far, India has been dependent on China and expensive foreign supplies for lithium. In the year 2020-21, India had imported lithium worth more than ₹6,000 crore and of this, more than ₹3,500 crore-worth of lithium was bought from China, according to IANS. However, with the second reserve found in Rajasthan, it is believed that China's monopoly in the global market will change.
The Geological Survey of India (GSI) and mining officials claim that the capacity of lithium reserves found in Rajasthan is higher than the lithium reserves discovered in Jammu and Kashmir earlier this year. Around 80 percent of India's total demand for lithium can be met from Rajasthan's deposit, as per reports.
What is lithium and why is it important?
Lithium is the world's softest and lightest metal, needed by battery-powered devices. It is soft enough to be cut with a vegetable knife and light enough to float when put in water. It stores chemical energy and converts it into electrical energy.
Also known as 'White Gold', lithium attracts a massive demand in global markets as the metal is present in every chargeable electronic and battery-powered gadgets. The global value of one ton of lithium is around ₹57.36 lakh.
According to a World Bank report, the global demand for lithium metal will increase by 500 percent by 2050. At a time when the world is witnessing a dynamic shift in the energy sector - from fuel to green energy - lithium becomes a sought-after asset for countries. The metal is also widely used to manufacture wind turbines, solar panels, and EVs - which are the leading carbon-neutral alternatives for the future.
A lithium battery is the only alternative for EVs since it has a high power-to-weight ratio, enabling it to provide a large charge while keeping the vehicle's curb weight low.
According to mining officials, the lithium deposit found in Rajasthan will not just help India reduce its import from China, but also help in becoming self-sufficient in green energy.
India's second lithium reserve: What does history say?
Lithium reserves in Rajasthan have been found in the Renvat hill of Degana and its surrounding area, from where tungsten mineral was once supplied to the country. During the British rule, officials had discovered tungsten mineral in 1914 on the hill.
Before independence, the tungsten produced in the region was used to make war material for the British Army during the World War-1. After independence, it was also used in the field of making surgical instruments in the energy and health sector.
Between 1992-93, China's cheap export policy made tungsten from the region very expensive. Eventually, the production of tungsten was stopped. The hill, which supplied tungsten and contributed to the country's economic growth for years, went deserted in a single stroke. During that period, offices, houses, gardens and schools built by the officials of GSI and other government agencies also turned into ruins.
With the newly-discovered lithium deposit, the fate of the hill and the country is set to change, as per officials.
India to become No. 1 EV manufacturer with lithium reserves?
After the first lithium reserve - of an estimated 5.9 million tonne - was discovered in Jammu & Kashmir's Reasi district, union minister Nitin Gadkari said that India can become world's number one automobile manufacturer in EV segment if it uses the same reserve.
"Every year, we import 1,200 tonnes of lithium. Now, in Jammu and Kashmir, we got lithium. (If) we can use this lithium ion, we will be the number one automobile manufacturing country in the world," he said. India is the third largest vehicle market in 2022 after China and the USA, beating Japan.
India's plan to increase EV penetration by 30 per cent by 2030 relies heavily on lithium - as of now, only a little more than 1 per cent of all vehicle sales in the country are electric vehicles. As it is a key component of batteries used in electric vehicles, the government is searching for rare metal reserves both within and outside the country.
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