New Delhi: The India-led Quad, comprising India, Australia, Japan and the United States, has announced plans to mobilise up to $20 billion in combined government and private sector investment to strengthen critical minerals supply chains and reduce dependence on concentrated global sources, according to a framework released on Tuesday.
Under the Quad Critical Minerals Initiative Framework, the partner countries said they intend to support the development of secure, diversified and resilient supply chains for critical minerals, which are essential for advanced technologies, economic growth and industrial resilience.
The initiative will focus on mining, processing and recycling of critical minerals, with the Quad countries aiming to coordinate economic policy tools and investment frameworks to accelerate supply chain diversification.
In addition, the partners will identify projects with a Quad nexus, including those located within member countries, operated by firms headquartered in Quad nations or supplying Quad markets, aimed at addressing key supply chain gaps.
To support strategic projects, the framework proposes the use of export credit agencies, development finance institutions and mobilisation of private capital, along with guarantees, loans, equity participation, insurance and offtake arrangements.
Moreover, the Quad grouping plans to explore mechanisms to further unlock private investment and improve the overall environment for critical minerals development, including sharing best practices on permitting, licensing and regulatory processes.
Additionally, the countries will cooperate on technology development and capacity building in geological mapping and resource assessment, while also examining measures to address non-market practices and unfair trade distortions in the sector.
A key pillar of the framework focuses on recycling and recovery of critical minerals, particularly from e-waste and scrap materials, to enhance secondary supply chains within Quad and partner countries.
The meeting was attended by External Affairs Minister S. Jaishankar, US Secretary of State Marco Rubio, Australian Foreign Minister Penny Wong and Japanese Foreign Minister Toshimitsu Motegi.
(IANS)
