India gains access to Bolivian lithium reserves

GS 2: IR | Bilateral relations

Why in News?

India has leveraged its way into the Bolivian lithium reserves after signing a Memorandum of Understanding (MoU) in Bolivia for development and industrial use of lithium, a prime component used to power electric vehicles and cell phones.


  • Both the countries agreed to forge mutually beneficial partnership to facilitate Bolivian supplies of lithium Carbonate to India and foster joint ventures for lithium battery / cell production plants in India.
  • The move will make Bolivia, which is known to have one-fourth of the world’s lithium reserves, one of the major provider of metal for India’s e-mobility and e-storage needs.
  • This agreement is supposed to form the backbone for the recently launched FAME India policy (Faster Adoption and Manufacture of (Hybrid and) Electric Vehicles) and
  • It will give a substantial push to India’s ambition to have at least 30 per cent of its vehicles run on electric batteries by 2030.
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