India is preparing to hold high-level discussions with Argentina, Indonesia, and Oman next month to strengthen supplies of key steelmaking raw materials, including coking coal and iron ore, while also exploring access to advanced mining technologies.
According to sources familiar with the development, the talks will begin during a global steel summit scheduled next month, which the Indian government has described as the largest international conference-cum-exhibition for the country’s steel sector.
These negotiations form part of India’s broader strategy to secure reliable raw material supply chains as the country continues to expand steel production capacity.
India’s Growing Demand for Steelmaking Inputs
India currently ranks as the world’s second-largest crude steel producer after China. As domestic infrastructure development accelerates, demand for steel and related raw materials continues to grow.
To support stainless steel production, India relies heavily on ferronickel imports, with Indonesia — home to the world’s largest nickel ore reserves — playing a crucial role in supply.
At the same time, India imports significant quantities of iron ore from countries such as Oman and Brazil. Recently, India signed an agreement with Brazil to expand cooperation in mining and mineral resources, highlighting the government’s proactive approach to securing long-term supplies.
Argentina Talks to Focus on Lithium and Critical Minerals
In addition to steelmaking inputs, India plans to discuss lithium and other critical mineral imports with Argentina. These resources are expected to support operations of NMDC Limited, India’s state-owned mining company.
Argentina currently ranks as the world’s fourth-largest producer of lithium, a key raw material used in electric vehicle batteries and renewable energy storage systems. Access to lithium is therefore becoming increasingly important as India accelerates its clean energy transition and electric mobility initiatives.
Strategy to Secure Critical Raw Materials
Earlier this year, the Indian government emphasized its goal of securing stable supplies of strategic minerals such as:
- Coking coal
- Lithium
- Cobalt
- Rare earth elements
These materials are essential not only for steel production but also for renewable energy technologies, battery manufacturing, and advanced industrial applications.
Rising Steel Demand and Export Expansion
As reported by Reuters, India’s steel demand continues to rise due to strong economic growth and large-scale infrastructure investments. In addition to meeting domestic requirements, the country is also working to expand steel exports.
To achieve this, New Delhi is diversifying export destinations from Europe to markets in Asia and the Middle East. This shift aims to mitigate the impact of the European Union’s carbon border tax, which could affect steel exports to European markets.
Consequently, higher production levels are increasing the need for stable and diversified sources of raw materials.
Industry Challenges: Energy Crisis and Supply Concerns
Despite its growth ambitions, India’s steel industry is currently facing several challenges. One major concern is a severe gas supply crisis, triggered by geopolitical tensions and the ongoing conflict in the Middle East.
The shortage has already threatened operations at several small steel units. Moreover, a unit of the JSW Group has warned that it could face a potential production shutdown if energy supply disruptions continue.
Strengthening India’s Steel Ecosystem
Against this backdrop, India’s planned talks with Argentina, Indonesia, and Oman highlight the government’s efforts to secure critical raw materials, strengthen global supply chains, and support long-term growth of the steel industry.
By building strategic international partnerships, India aims to ensure resource security, expand steel production, and reinforce its position as a major global steel producer.
