India’s expanding Business Ties from Argentina (Lithium) to Mexico (IT

India’s expanding Business Ties – from Argentina (Lithium) to Mexico (IT)

India is planning to reach out to Argentina, Bolivia, and Chile to procure supplies of lithium that are used to make batteries for electric vehicles (EV) and solar power plants. And also to meet defence production requirements and to cut India’s dependence on imports India has set an ambitious target to achieve 6-7 million sales of electric/hybrid vehicles in India by the year 2020 and of meeting target of 100 GW of solar power generation by 2022.

But it has no lithium to power these dreams and so is expected to turn to the three countries in South America, the so-called “lithium triangle” which hold the world’s greatest reserves of the metal.

On the other hand, Mexico’s Ambassador to India Melba Pria has reached out to Indian workers on an H-1B visa and Indian IT service companies to relocate to Mexico, if the Trump administration or the US Congress cracks down on legal immigration. Mexico will be “more than happy to have Indians relocate to Mexico”, Pria said in an interview to The Indian Express, in New Delhi, specifically mentioning H-1B visa workers, and how Indian IT companies would be able to service their US clients as they would be working in the same time zone.

Guadalajara, Mexico’s Silicon Valley, is a technology hub with at least 10 major Indian IT companies like TCS, Infosys, Wipro, HCL, Mahindra, NIIT having set up office there.

India was the 8th largest importer and 14th largest exporter for Mexico. Apart from Indian IT companies, pharmaceutical majors like Sun Pharma, Dr. Reddy’s, Ranbaxy, Wockhardt and auto component manufacturers like RSB Transmission, PMP Auto, JK Tyre & Industries Ltd., have invested in facilities and plants in Mexico and are taking advantage of the country’s strategic location, large market and investment friendly policies.

Many Mexican companies in sectors like food processing, IT & telecom, auto components, infrastructure (affordable housing) and others in the framework of the Make in India program,” said Pria.

Countries including Argentina, Chile and Bolivia, are members of International Solar Alliance (ISA), initiative of Prime Minister Narendra Modi, which fosters South-South Cooperation.

Speaking to The FE on condition of anonymity, an officer in the Ministry of Mines & Minerals, said, “Lithium has been designated as of the strategic metal. India does not have reserves of the rare metal needed for making lithium-ion batteries.”

Further, India has set an ambitious target of 100 GW of solar power generation by 2022 which also includes 40 GW from rooftop solar. These roof-top plants will also require batteries for storage, if the institution or household want to store the solar energy and use it in the evening. Most of the advanced storage systems, used with rooftop solar plants, currently are lithium-ion based.