Mineral Security Partnership (MSP)

Why in news?

• India has been inducted into the Mineral Security Partnership (MSP).

About Mineral Security Partnership (MSP):

• It is a US-led partnership to secure supply chains of critical minerals, aimed at reducing dependency on China.
• MSP aims to catalyze investment from governments and the private sector to develop strategic opportunities.
• Members:
  • US, Australia, Canada, Finland, France, Germany, Japan, Republic of Korea, Sweden, United Kingdom,  India and European Commission.

Significance of the alliance:

• The MSP will focus on the supply chains of minerals such as Cobalt, Nickel, Lithium, and also the 17 ‘rare earth’ minerals.
• The alliance is also seen as primarily focused on evolving as an alternative to China, which has created processing infrastructure in rare earth minerals and has acquired mines in Africa for elements such as Cobalt.
• Currently, there is an overwhelming dependence on countries such as China for Rare Earth Minerals. China is one of the leading producers of RE minerals with an estimated 70 percent of the global production.

PRACTICE QUESTION:

Consider the following statements:

1. India has been recently inducted into the Mineral Security Partnership (MSP).

2. Mineral Security Partnership (MSP) is US-led partnership to secure supply chains of critical minerals, aimed at reducing dependency on China

Which of the statements given above is/are correct?

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Answer