Rare Earth - Samvada World

United States Geological Survey geological survey estimates that Afghanistan may hold 60 million metric tons of copper, 2.2 billion tons of iron ore, and 1.4 million tons of rare earth elements (REEs) such as lanthanum, cerium, neodymium, and veins of aluminium, gold, silver, zinc, mercury, and lithium.
The USGS estimates the Khanneshin deposits in Helmand province will yield 1.1.-1.4 million metric tons of REEs. Some reports estimate Afghanistan REE resources are among the largest on earth.
China has won exploration rights for copper, coal, oil, and lithium deposits across Afghanistan, and there are reports that Beijing won the rights to develop a copper mine by bribing Afghan mining officials.

Rare earth is used in the manufacturing of important parts in electronic devices.
China has 36.7% of all the rare metal deposits followed by Brazil with 22%, Vietnam with 18%, and Russia with 10%.
Till 2010 China had a virtual monopoly over the supply of rare metals with 90% of the market share.
The US was also affected by the monopoly of China. During the recent trade war between the US and China, the latter tried to use its leverage to gain an advantage.
India in this regard isn’t at an overwhelming disadvantage as it has around 5% of the world deposits.
Despite its vast deposits, India managed to produce only 1% of the rare metals in the world in 2020.
India must clear the monopoly of the public sector and make room for private players to invest and produce.

Tag: Rare Earth

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