New Delhi: In a major boost to bilateral ties, the Ministry of Steel, Government of India, and the Ministry of Mines and Energy, Brazil, signed a Memorandum of Understanding (MoU) to strengthen cooperation in mining and minerals critical for the steel sector. The agreement was formalized at Hyderabad House, New Delhi, in the presence of Prime Minister Narendra Modi and President Luiz Inácio Lula da Silva.
The MoU establishes a structured framework to support the reliable and sustainable development of raw materials essential for steel production, covering the entire steel value chain.
Key Areas of Cooperation
The partnership will focus on:
- Investment Promotion: Encouraging investment in mineral exploration, mining, and infrastructure for the steel sector.
- Advanced Processing: Implementing cutting-edge technologies for mineral processing, recycling, and beneficiation.
- Automation and AI: Deploying automation and artificial intelligence for efficient geoscientific data analysis and mining operations.
- Best Practices: Sharing expertise in mineral extraction, environmental management, and sustainable mining practices.
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Brazil’s Role in Securing Critical Raw Materials
Brazil is a leading global producer of iron ore and holds significant reserves of other key steelmaking minerals such as manganese, nickel, and niobium. Enhanced collaboration with Brazil is expected to improve India’s access to these crucial raw materials and advanced technologies, supporting the sustainable growth of its steel industry.
Strengthening India’s Steel Capacity
India currently has a steelmaking capacity of 218 million tonnes, which is rapidly expanding to meet rising domestic demand driven by infrastructure development and industrialisation. The MoU will facilitate:
- Efficient preparation of steelmaking inputs.
- Technology-led improvements across the steel value chain.
- Strengthening resilience and sustainability in the India-Brazil steel supply chain.
Officials emphasized that this collaboration marks a pivotal step toward modernizing India’s steel sector through innovation, resource security, and sustainable mining practices.
Future Outlook
The MoU also aligns with India’s focus on advanced digital technologies, AI-driven exploration, and environmentally responsible mining, ensuring the country remains competitive in the global steel industry while promoting long-term growth and bilateral cooperation with Brazil.
