COMMENTARY systems. Rare earth permanent magnets India’s Rare Earths Industry are needed in several defence and space devices. Neodymium-doped Yttrium Alu- A Case of Missed Opportunities minium Garnet (Nd YAG) lasers are used in range fi nding applications that are part and parcel of any advanced weapon S Chandrashekar, Lalitha Sundaresan system. Yttrium Iron Garnets as well as Yttrium Gadolinium Garnets are needed The creation of knowledge in lobal and Indian interest in the for building microwave components that the rare earths domain in role of hi-tech materials such as go into advanced communications and India is confi ned to a few Grare earths for crafting strategies radar facilities. Terfenol D, an alloy of that further a country’s development terbium, iron and dysprosium, has unique government-run complexes with and geopolitical interests has been on properties that is used in sonar and other no major links to commercial the increase lately. This renewed interest acoustic applications. industry. With interaction has come about due to various actions Historically, India was one of the early between the research community taken by China to establish a dominant countries to recognise the importance of position in the global rare earths industry rare earths. Specifi c organisational and and industry non-existent, India’s and to leverage this position to further its institutional arrangements were set up position as a player in the global global interests (Mancheri et al 2013). to regulate, manage and develop rare rare earths ecosystem is bound to Because of their unique position in the earth resources in the country. Over a be weak. Further, in the absence periodic table, rare earth elements have period of time, global developments in many desirable properties that fi nd use in rare earths coupled with Indian inertia of a cohesive national strategy a variety of high technology applications. may have signifi cantly eroded India’s for moving the country up the Apart from their use in a number of competitive position vis-à-vis other coun- value chain in rare earths into the well-established industries, rare earths tries in the management of a valuable intermediate and fi nal product are particularly important for the manu- national resource. facture of key intermediates that go into Given Chinese actions and renewed space, India continues to be a a number of green energy products such global interest in rare earths, it may be low-cost raw material supplier to as hybrid cars, energy effi cient lighting, necessary for Indian decision-makers to the global rare earths industry. windmills and fuel cells. These new high take stock of where India is today with growth industries are likely to fuel an respect to the global rare earths industry increase in global demand for rare earth and decide on an appropriate plan of materials and products. action. This requires a deeper under- The value chains of the various rare standing of the various value chains in earth elements and their connections with the global rare earths ecosystem and various intermediate and end use indus- India’s position in these knowledge- tries for an advanced economy such as based value chains. Hopefully, such an the United States (US) or Japan have analysis will also shed some light on the been well studied and mapped. Some of components of a national strategy for the major intermediate industries that are the management of this resource. These signifi cant users of rare earths are the issues will be addressed in this article. glass industry, permanent magnet indus- try, phosphors used in lighting and dis- India and Global Industry play devices, catalysts for the oil refi ning Rare earth resources are predominantly industry as well as oxygen sensors, bat- found in China, US, Australia and India. teries and catalytic converters for use in India occupies fourth position, with 1.3 automobiles. Major sectors linked to million tonnes of rare earth oxide (REO) these intermediates include consumer content. The Department of Atomic S Chandrashekar (chandrashekar.schandra@ electronics, petrochemicals, transporta- E nergy (DAE), however, estimates the gmail.com) is a former ISRO scientist and tion and green energy that include the t otal rare earth reserves in India at 10.21 faculty at the Indian Institute of Management new emerging industries of effi cient CFL million tonnes. This would put India in Bangalore. He is currently a visiting faculty LED at the National Institute of Advanced Studies, (compact fl uorescent lamp) and the third position above Australia (Min- Bengaluru. Lalitha Sundaresan (sundaresan. (light-emitting diode) lighting (Chan- istry of Mines 2012). India has also been [email protected]) is a former ISRO scientist drashekar 2013). engaged in mining and extraction activ- and a visiting faculty at the National Institute Rare earths are also key materials for ities for more than fi ve decades. This of Advanced Studies. use in a number of military and strategic makes it possible for India to become an

Economic & Political Weekly EPW JANUARY 16, 2016 vol lI no 3 27 COMMENTARY important player in the global rare Figure 1: Rare Earth Industry Life Cycle earths industry. The RE product/industry life cycle

In India, monazite is the principal Incubation source of rare earths. It occurs in associ- 1880–1950 Maturity 1990 ation with other heavy minerals such as ilmenite, rutile, zircon, etc, in the beach Decline ? Substitutes– New Drivers–Green sands and inland placer deposits (Minis- Growth Technologies China-Led 1970–90 try of Mines 2012). Monazite also con- E tains thorium and uranium. Because of the presence of these radioactive ele- ments, mining of monazite sands is Technology cycles linked to carried out only by a government body, D product cycles 1990 onwards the DAE. slowdown in US IREL Indian Rare Earths Limited ( ), an Diversity autonomous body under the DAE, is the units) of Industry (number size 1950–70 Gas lighting–flint–glass–optical glass polishing– sole producer of rare earth compounds C metallurgy–phosphors–catalysts–magnets– in India. IREL has been in existence since garnets–catalytic converters–fibre optics–ceramics 1949 in its current form and has also been exporting rare earth compounds B for several decades. Even though IREL’s A name suggests that it is largely focused TimeTime on the development and use of rare earths, most of its income is derived Source: Generated by the authors. from the production and marketing of there is a reference to the availability of China’s export of rare earth materials the other minerals that are contained in monazite and rare earths in Southern also came down signifi cantly in the fol- the beach sands such as ilmenite, rutile, India in a book published in 1915 lowing years. These export curbs were sillimanite and zircon. (Johnston 1915). For a long time, India meant to move production of high value More recently, even the limited produc- and Brazil were the only suppliers of addition rare earth products from around tion of rare earths has been decreasing. rare earths; though at that time, many the world into China. This was the fi rst In 2013–14, India produced less than a of the applications of rare earths were instance where the world saw the impact tonne of rare earth materials and sold still to be discovered. China started of the dominant position occupied by about 4.2 tonnes mainly from its inventory. mining rare earths in 1959. While China China in the global rare earths industry. The absence of a domestic market and went ahead in building a strong domestic These Chinese actions have evoked con- the fall in exports because of low-cost rare earths ecosystem, India has been cerns across the developed world about Chinese production have been the causes primarily a supplier of rare earth raw how to safeguard the supply of rare of this decline. materials and some basic rare earth earth materials that play such a critical Most of the products using rare earth compounds. role in the continued development of materials are currently imported into The story of how China has established their economies. India in fi nished form. In spite of the fact a near global monopoly over rare earth These Chinese moves and counter- that India was an early entrant into the raw materials and almost all intermediate moves by the more advanced economies mining and processing of rare earths, rare earth products has been recounted of the world provide a new set of potential there has been no major effort within in detail elsewhere (Mancheri et al 2013). opportunities to kick-start the moribund the country to go up the rare earths Chinese behaviour in using their mono- rare earths industry in India. In order to value chain (Parliament Question 2015). poly position in the rare earths eco- frame a suitable strategy for India, we Currently there is no manufacturing system as a component of its geo- must fi rst look at the relative competitive facility in India for any of the intermedi- political strategy is also becoming positions occupied by the major players ate rare earth products. In addition, sep- increasingly self-evident. in the global rare earths ecosystem. arating out the various rare earth frac- In 2010, China had cut off supplies tions into their individual elements and of rare earths to Japan over a confl ict Current Competitive Positions then converting them into the metal between China and Japan in the East The use of evolutionary approaches exem- form for use in the making of products, China Sea. Although there are different plifi ed by the use of ‘S’ curves has been increases the value addition to the raw views (King and Armstrong 2013) as to well-studied in the business world. As material signifi cantly (Shanghai Metals whether China cut off supply to spite industries move from incubation into Market). Japan, many political thinkers thought diversity, growth and maturity, the focus of India and China started mining rare that China was using economic levers strategy shifts from technology to products earths almost at the same time. In fact, for geopolitical purposes. into markets and fi nally into production.

28 JANUARY 16, 2016 vol lI no 3 EPW Economic & Political Weekly COMMENTARY

Figure 2: Global Rare Earths Industry in the 1990s Figure 3: Global Rare Earths Industry after 2000 Relative Competitive Position RE Industry—US and China Early 1990s Competitive Positions 2005—Global Rare Earths Industry Incubation Growth Incubation Growth US Decline China

Diversity Diversity Decline Maturity Maturity Compete US Europe Japan China 2010–13 Industry size (number of units) of Industry (number size Industry size (number of units) of Industry (number size

Time Time Source: Generated by the authors. Source: Generated by the authors. These connections between technologies, Available data on Indian capabilities, of the more advanced countries of the products, markets and industries and how especially in the development of rare world. they respond to competing and cooperat- earth permanent magnets for use in the ing forces within any business environ- space and missile programmes, would The Indian Rare Earths Industry ment provide a framework within which seem to suggest that India was possibly Value Chains we could position the different players in in the early diversity phase. We examined the abstracts of the the global rare earths business ecosystem These developments in the global rare p apers presented at the REPUT 2014 (Chandrasekhar 1996). earths industry led to a renewed interest conference to make a critical appraisal An overview of the evolution of the in the development of the industry of the R&D conducted within India on global rare earths industry that links the in India. A number of initiatives were rare earths and the relevance of this various technology breakthroughs for u ndertaken by different entities within R&D for India’s position in the global product development with the evolution the country. One of them was a National rare earth value chain. of an industrial ecosystem is provided in Conference on Rare Earths Processing A number of entities under the DAE, Figure 1 (p 28). This diagram is based on and Utilisation (hereafter, REPUT 2014) led by the Bhabha Atomic Research our study of the various technological organised jointly by the Indian Institute Centre (BARC), accounted for 32 out of breakthroughs as well as the intermedi- of Metals (Mumbai Chapter), Rare Earth the 46 papers presented at the conference. ate and fi nal products that resulted from Association of India (REAI), and the Materi- These included 26 papers from BARC, them (Mancheri et al 2013). als Research Society of India (MRSI) two papers by IREL and one paper by the Figure 2 shows the relative positions of (Mumbai Chapter). Atomic Minerals Division, the entity China and the US in the early 1990s, when The papers presented in the confer- that is responsible for exploration activi- the global rare earths industry was in the ence provide us with empirical evidence ties within the DAE. early stages of reaching maturity. The US on the kind of research currently going Eight papers were from the various not only created most of the technology on in India in the fi eld of rare earths. Council of Scientifi c and Industrial breakthroughs using rare earths but also They can therefore be used to assess the Research (CSIR) laboratories. These in- pioneered the commercialisation of these current status of research and develop- cluded fi ve papers from the National breakthroughs. It was the world leader in ment (R&D) in rare earths. These re- Institute for Interdisciplinary Science rare earths with a complete well-connected search initiatives can also be linked to and Technology (NIIST), two papers from rare earths industrial ecosystem. the various components of the Indian the Central ElectroChemical Research Figure 3 shows how the relative com- rare earths value chain. These connec- Institute (CECRI) and one paper from the petitive position between China and the tions (or their absence) between the Central Leather Research Institute (CLRI). US had shifted by about 2005. From content of R&D and the current status of The Defence Materials Research Labora- being a laggard in the early 1990s, China rare earths value chain in India will tory (DMRL) had one paper and the uni- has moved to hold a dominant position in e nable us to make inferences about the versities accounted for fi ve of the papers the global rare earths industry. This has relevance of rare earths R&D to the presented at the conference. been accompanied by signifi cant erosion current Indian situation. It may also The research in rare earths is domi- in the capabilities of the US, Europe and shed some light on the organisational nated by the DAE and the various entities Japan, whose industrial capabilities in and institutional bottlenecks that in- (especially, BARC) that function directly critical rare earth value chains had hibit the development of an Indian under it. Other players include CSIR labo- declined alarmingly. rare earths ecosystem similar to those ratories and a single defence laboratory, all

Economic & Political Weekly EPW JANUARY 16, 2016 vol lI no 3 29 COMMENTARY of which come under the ambit of the sci- Figure 4: Papers under Different Categories ence and technology sector of the country. R & D Focus Areas from RE Papers As we can see from the data, there 60 was not a single paper in the conference 50% that came from the private industry in 50 India. There could be a multitude of rea- Total papers 46 sons as to why this is so. Irrespective of 40 the specifi c reason or reasons for this 28% state of affairs, the evidence from the 30 conference proceedings suggests that the creation of knowledge in the rare No of papers (%) 20 earths domain is confi ned to a few govern- 11% 10 ment-run complexes with no major links 7% to commercial industry. 4% 0 If we were to classify the papers on Exploration & Mining REO Production RE Separation RE Application Environment the basis of which part of the value chain Focus Area Related they fall under, based on their content, Source: Generated by the authors. an interesting story emerges. This is such an inference. The absence of any creation process. Unless this gap between shown in Figure 4. papers from industry in the conference the production of rare earth materials There were 23 papers (50%) that dealt indicates that industry in India is either and their use in various products is with rare earth products, covering a large not aware of rare earths-based product bridged, the relevance of much of the number of products and industries span- possibilities in the many established product-oriented rare earths research ning the spectrum from the more tradi- industries or is not interested in research becomes questionable. tional industries such as pigments, related to rare earths for the products and The papers in the seminar seem to refractories, catalysts and alloys to more services that it currently offers. suggest that while there is academic inter- modern industries such as lasers, magnets, The knowledge creation part of the est in rare earth-based products, there is phosphors and other hi-tech products. This value chain takes place largely within a total absence of any kind of industrial focus on products and their use is consist- the confi nes of the major public sector linkage in all these efforts. Most of these ent with an Indian position in the diver- technology-oriented mission organisa- R&D efforts, therefore, are not likely to sity growth portion of the global S curve. tions. This is not connected in any way result in any kind of tangible economic A closer scrutiny of the data however with industries which are the potential benefi t arising from industrial activities. does raise a number of concerns regarding users and benefi ciaries of this knowledge Based on a simple count of the papers, at Higher Education in India In Search of Equality, Quality and Quantity Edited by JANDHYALA B G TILAK India has a large network of universities and colleges with a massive geographical reach and the facilities for higher education have been expanding rapidly in recent years. The story of higher education in India has seen many challenges over the decades and has not been without its share of problems, the most serious being a very high degree of inequity. Pp xiv + 538 Rs 745 Drawn from writings spanning almost four decades in the EPW, the articles in this volume discuss, among other things, ISBN 978-81-250-5131-2 issues of inclusiveness, the impact of reservation, problems of mediocrity, shortage of funds, dwindling numbers of 2013 faculty, and unemployment of the educated young. Authors: André Béteille • Shiv Visvanathan • Suma Chitnis • Satish Deshpande • K Sundaram • Rakesh Basant, Gitanjali Sen • Jayati Ghosh • Thomas E Weisskopf • Lloyd I Rudolph, Susanne Hoeber Rudolph • A M Shah • Errol D’Souza • G D Sharma, M D Apte • Glynn L Wood • D P Chaudhri, Potluri Rao • R Gopinathan Nair, D Ajit • D T Lakdawala, K R Shah • Chitra Sivakumar • Amrik Singh • Jandhyala B G Tilak • Anindita Chakrabarti, Rama Joglekar • Karuna Chanana • Saumen Chattopadhyay • Samuel Paul • Deepak Nayyar • V M Dandekar • M Anandakrishnan • Thomas Joseph Orient Blackswan Pvt Ltd www.orientblackswan.com Mumbai • Chennai • New Delhi • Kolkata • Bangalore • Bhubaneshwar • Ernakulam • Guwahati • Jaipur • Lucknow • Patna • Chandigarh • Hyderabad Contact: [email protected]

30 JANUARY 16, 2016 vol lI no 3 EPW Economic & Political Weekly COMMENTARY least 50% of the R&D effort will be wasted. the absence of any kind Figure 5: India in Global Rare Earths Industry 2005 It would therefore be more appropriate to of coordinated activity be- move the Indian position in the global tween the various govern- Incubation Growth China rare earths industry into the earlier less ment science and techno- Diversity Decline developed incubation phase. logy establishments, espe- Maturity Compete The data from the papers presented at cially in an area that is eco- US the conference also reveal a total absence nomically and strategically Europe Japan of collaboration between the various sci- important. 2010–13 ence and technology departments and mis- In 2011, a rare earth pro- sion organisations that function directly cessing plant called Toyotsu under the government. There are no Rare Earths India was set up Industry size (number of units) of Industry (number size joint papers between any of the units oper- in Andhra Pradesh. This is ating under the DAE, CSIR and DRDO. a joint venture between India In 1996, the DMRL and Ministry of IREL and Toyota Tsusho Time TTC Defence transferred the technology of Corporation ( ), a sub- Source: Generated by the authors. making Nd-Fe-B (Neodymium-Iron-Boron) sidiary of Toyota Corpora- permanent magnets to Mishra Dhatu tion. The plant is set up by Toyotsu Rare the current research efforts associated Nigam (MIDHANI). This indigenous devel- Earths Orissa (TREO). IREL will supply with rare earth materials. As a conse- opment was supported by the Technology monazite to this plant after thorium, tita- quence, India does not have any major Information, Forecasting and Assessment nium, zirconium and uranium are re- presence in the global rare earth ecosys- Council (TIFAC) functioning under the moved. The plant will produce the ox- tem except as a limited supplier of basic DST. It is interesting to note that MIDHANI ides of lanthanum, cerium, praseodymi- rare earth materials. was not represented in the conference. um, neodymium, and cerium carbonate The TIFAC has also brought out a report to be exported to Japan (Toyotsu Rare Indian Position in the Global “Handbook on Rare Earth Occurrences, Earths India). Since the prices of rare Rare Earths Industry Production & Application” in 2002. Ob- earth oxides are much less than the prices Figure 5 shows the Indian position in the viously these efforts did not kindle any of rare earth metals, the benefi ts to India global rare earths industry. The absence interest in the Indian industry. are substantially lower than what they of any real links between research and Recognising the growing importance could have been. use and the total absence of any kind of of Nd-Fe-B permanent magnets, IREL Thus, there is no clear national strategy rare earth-based product industries in decided to establish a facility at its Rare that connects the capabilities and needs the country places the Indian rare earths Earths Division unit called PRYNCE (Pra- that exist in different organisational industry within the incubation phase seodymium-Yttrium-Neodymium-Cerum) entities that function within the science in Figure 4. to produce 135 tonnes per annum of neo- and technology sector of the Indian The need for various rare earth-based dymium oxide (>95% pure) suitable for government. Even within the confi nes of products is likely to grow for some time manufacture of Nd-Fe-B magnets (Nair government-run mission organisations, globally and this offers a lot of value addi- 2001). The fact that the production of there is a visible disconnect between tion opportunities in the product space for rare earths by IREL has witnessed a steep various users such as the DOS, DRDO and rare earth materials for India. However, decline in recent years suggests that this the potential materials supplier IREL. there are a number of structural problems initiative too has not been very successful. This is clearly evident from the conference within the Indian rare earths ecosystem The speaker from DMRL, however, did proceedings which show no indication that have inhibited the evolution of a say that the organisation has been col- whatsoever of any kind of collaborative well-connected industry that spans the laborating with the Department of Space research between these entities. spectrum from exploration and mining (DOS). In an earlier report (Sundaresan Research pursued in rare earth mining, to the production of rare earth materials and Chandrashekar 2014), we had men- rare earth separation and production of and various products based on rare tioned that one of the successful collabo- different rare earth materials (37% of earths. The US achieved such a capability rations that took place within the Indian the papers) appears to be relevant and in the 1970s and China achieved such a science and technology government sector could add value to IREL’s output. Unlike capability in the early 1990s. was the development of rare earth perma- the case of product development research, The challenge of moving from the nent magnets by the DMRL and Vikram this research may help IREL realise incubation into the growth and mature Sarabhai Space Centre (VSSC) for use in more money from its outputs. However, phases is not a trivial one and requires a Indian rockets and satellites. Though the these capabilities do not fi nd a place in substantial change in direction and strat- magnets were developed and fl own, the joint venture between IREL and TTC. egy. In other words, India still has to go they used imported rare earth material The analyses also substantiate earlier up the S curve if it wants to be a global rather than the material processed and fi ndings (Chandrashekar 2013) that there player in the rare earths ecosystem and supplied by IREL. This seems to suggest is an absence of a strategic direction in this needs to be done sooner than later.

Economic & Political Weekly EPW JANUARY 16, 2016 vol lI no 3 31 COMMENTARY

32 JANUARY 16, 2016 vol lI no 3 EPW Economic & Political Weekly COMMENTARY If India can put together a national that appear to be unconnected with each rockets. However, these magnets used strategy for rare earths and bring about other. The fi rst component of this Indian imported rare earth material. relevant coordination between research rare earths ecosystem relates to the DAE These fragmented capabilities that entities, the mission organisations and rare activities for producing basic rare earth exist within the mission organisations of earth product producers in industry, there materials that go into various downstream the national security complex in both rare is still some hope that India can become a industries. This includes all activities earth material production and the produc- player of substance in the global rare from exploration to the production of tion of magnets could be integrated and earths industry. This will take some time REO as well as various rare earth metals then transferred or scaled up for use in the to achieve and will require considerable and compounds. This component of the civilian sector. This is an opportunity that investment in money, time and effort. Indian rare earths ecosystem is directly could give a fi llip to the emergence of new This will also require signifi cant improve- linked to the global rare earths industry rare earths ecosystem within the country ment in national managerial capabilities as a low-cost supplier of rare earth materi- starting with this intermediate product. that cut across mission organisations. als. It is largely exercised through IREL The major missing component in the There is also a need for strong leadership exports to the global marketplace. It is current rare earths ecosystem is of course in these organisations to put these ele- unconnected to the needs of the Indian the absence of any real linkages between ments together. If India is not able to put strategic community and is also uncon- the rare earth research community and together and implement such a national nected to any users in Indian industry. Indian industry. As long as this situation strategy, it runs the danger of continu- The second component of the Indian is not remedied, India will continue to ing to be a low cost supplier to the global rare earths ecosystem comprises a lot of be a low cost supplier to the global rare rare earths industry. Given its poor track product-oriented R&D both within the earths industry. If these fundamental record of linking research with products, DAE and some science and technology structural issues are not addressed, it seems most likely that India will con- public sector mission organisations. The focusing R&D on the development of tinue to supply rare earth raw material available evidence suggests that even products will also be a wasted effort to the global rare earths industry. within this R&D ecosystem the connec- with no real economic benefi ts. A closer scrutiny of the recent joint tions between raw material production venture between India and Japan will and the use of such materials in products References show that India continues to be a mere required by the strategic sectors are Chandrasekhar, S (1996): “Technology and Business: supplier of rare earth materials without weak or non-existent. the Missing Link,” IIMB Management Review, April–June, pp 41–51. any value addition in terms of high value One would assume that the value Chandrashekar, S (2013): “Does India Need a Na- materials or products. Even negotiating addition of rare earths would begin at IREL tional Strategy for Rare Earths,” International Strategic and Security Studies Programme the implementation modalities of this and signifi cant R&D both in rare earth (ISSSP), National Institute of Advanced Studies arrangement took India more than two separation and rare earth downstream Report R-18–2013, www.isssp.in. Johnston, S J (1915): Rare Earth Industry, London: years given that a memorandum was materials production would emerge from Crosby Lockwood & Sons. signed by the DAE and the Ministry of there. This does not appear to be so. King, A and S Armstrong (2013): “Did China Really METI Ban Rare Earth Exports to Japan?,” East Asia Economy, Trade and Industry ( ) of Most of the knowledge generated for Forum, Economics, Politics and Public Policy in Japan on cooperation in the fi eld of rare rare earth separation and downstream East Asia and the Pacifi c, http://www.eastasiafo- earths on 16 November 2012. materials production is taking place rum.org, viewed on 26 July 2015. Mancheri, Nabeel, Lalitha Sundaresan and S Chan- Although there is a statement made by within various BARC labs. One could drashekar (2013): “Dominating the World–China IREL that they will be collaborating with postulate that with a proper strategy in and the Rare Earth Industry,” International Strategic and Security Studies Programme the Ministry of Defence and Department place such research would move into IREL (ISSSP), National Institute of Advanced Stud- of Space to make rare earth permanent leading to value addition. The evidence ies Report R-19–2013, www.isssp.in. Ministry of Mines (2012): “Rare Earths and Energy magnets, this will probably cater only to from the papers as well as public knowl- Critical Elements: A Roadmap and Strategy for the strategic needs. edge about IREL suggests that this is not India,” Government of India, Centre for Study of Science, Technology and Policy (CSTEP) Report. If, and that is a big if, India wants to be happening. This is indicative of funda- Nair, V R (2001): “Production of Neodymium at a player in the global rare earths industry, mental structural problems in the DAE, PRYNCE Plant,” Nuclear India, Vol 34, Nos 7–8. BARC IREL Parliament Question 1601 (2015): Rajya Sabha, it is time that steps are taken sooner than , relationship that could come “Augmenting the Capacity of IRE Plant,” answered later to identify the kind of intermediate in the way of any value addition activities. on 12 March 2015. products that need to be manufactured in DMRL, a unit of DRDO, has developed Sundaresan, Lalitha and S Chandrashekar (2014): “R&D on Rare Earths and Value Addition–the the country and a clear manufacturing the technology for Nd-Fe-B permanent Indian Case,” International Strategic and Securi- policy evolved. Only such an approach will magnets. Samarium Cobalt (Sm Co) mag- ty Studies Programme (ISSSP), National Insti- tute of Advanced Studies, www.isssp.in. maximise the economic pay offs coming nets, the second generation permanent Technical & Closing Report submitted to TIFAC by out of the exploitation of a scarce resource. magnets, have been developed for use in DMRL (1996): “Commercialisation of Home Grown NdFeB Permanent Magnet Technology.” the space programme by joint teams Toyotsu Rare Earths India, http://trei.co.in/our- Conclusions from the DMRL and VSSC. Starting from company.php, accessed on 10 July 2015. PSLV D Shanghai Metals Market, http://www.metal.com/ There seems to be two distinct compo- the – 3 fl ight of 1996, over 5,000 of metals/rare-earth/prices#1, accessed on 9 nents of the Indian rare earths ecosystem them have fl own on Indian satellites and July 2015.

Economic & Political Weekly EPW JANUARY 16, 2016 vol lI no 3 33