Geopolitical Significance of Rare-earth Magnets
In the modern geopolitical landscape, products and services, including magnets, are being weaponized, making countries reconsider their dependencies. India aims to be self-reliant in critical products and services like magnets.
Historical Context and Development
- Lodestone was discovered by ancient civilizations for its magnetic properties, believed to have healing powers, and used in navigation.
- In the 18th century, magnet properties were understood and utilized in industry.
- High-efficiency rare-earth magnets have surpassed traditional magnets in strength and are crucial in various modern applications.
India's Strategic Initiatives
- A production-linked incentive scheme worth ₹1,345 crore supports rare-earth magnet manufacturers in India.
- India's rare earth and compound imports for FY25 are valued at $31.9 million, with magnet imports at $291 million.
- China is a dominant trade partner for India in rare earth minerals.
Applications of Rare-earth Magnets
- Medical Sciences: Used in X-ray machines, MRI scanners, cancer therapies, and genetic tests.
- Renewable Energy: Essential for hybrid vehicles, wind turbines, and advanced batteries.
- Technology: Integral in lasers, fiber optics, radar systems, and superconductors.
Future Outlook and Investments
- India anticipates a rapid increase in the demand for rare earths across sectors.
- Government and industry recognize the need to secure the supply of magnets.
- The Technology Development Board is funding Midwest Advanced Materials to produce 500 tonnes annually of NdFeB magnets, aiming for 5,000 tonnes by 2030.
- India's public sector has a track record in rare-earth processing and magnet production.
India's drive towards self-sufficiency in rare-earth magnets, bolstered by incentives and domestic demand, is crucial for mitigating reliance on external sources and fostering private sector engagement.