India and Brazil have signed a significant Memorandum of Understanding (MoU) aimed at strengthening and securing the steel supply chain by enhancing cooperation in mining and mineral resources. The agreement was exchanged at Hyderabad House in New Delhi in the presence of Prime Minister Narendra Modi and Brazilian President Luiz Inácio Lula da Silva, marking a key step in deepening bilateral economic ties.
The cooperation will span the entire steel value chain, particularly exploration, mining and infrastructure development. Both nations will work to attract investments in the steel sector and improve processing and recycling technologies for minerals.
The agreement also emphasises the use of advanced technologies, including automation and artificial intelligence in geoscientific data analysis. By integrating AI-driven tools, both countries aim to enhance exploration efficiency and improve data-based decision-making.
Best practices in mineral extraction, beneficiation and environmental management will also form a key component of the collaboration.
Brazil’s Strategic Mineral Strength
Brazil is one of the world’s leading producers of iron ore and holds substantial reserves of manganese, nickel and niobium—minerals that are essential for steelmaking. Strengthened ties with Brazil are expected to improve India’s access to these critical inputs.
Securing steady supplies of high-quality raw materials is increasingly important as India accelerates infrastructure development and industrial expansion.
Supporting India’s Steel Expansion
India currently has a steelmaking capacity of 218 million tonnes and is steadily expanding to meet growing domestic demand. Large-scale infrastructure projects, urbanisation and manufacturing growth are driving the need for higher steel output.
The MoU is expected to support Indian companies undertaking capacity expansion by facilitating access to advanced mineral processing, recycling technologies and data-driven exploration methods.
According to official information released by the Press Information Bureau, the partnership aligns with India’s long-term strategy of strengthening raw material security and enhancing value addition within the steel ecosystem.
Building a Resilient Supply Chain
The India–Brazil steel supply chain partnership aims to create resilience against global market disruptions. By institutionalising cooperation in mineral exploration and technology exchange, both countries seek to ensure stable input availability for long-term industrial growth.
Technology-led improvements across the steel value chain—including beneficiation, recycling and environmentally responsible mining—are expected to enhance sustainability standards.
The MoU also signals growing strategic alignment between two major emerging economies. As global demand for steel continues to rise, partnerships focused on resource security and technological advancement are likely to play a crucial role in shaping future industrial competitiveness.
With this agreement, India and Brazil have taken a concrete step toward securing critical minerals, strengthening industrial cooperation and reinforcing the foundation of their steel sectors for decades to come.