South Asia must act strategically as international race for essential minerals intensifies
Iftikhar Ali Malik, former president of Saarc Chamber of Commerce and Business.
LAHORE:
The battle for technological supremacy is not being fought solely in laboratories or inventory exchanges; it’s more and more unfolding beneath the earth’s floor. From lithium-rich salt flats to copper belts and uncommon earth deposits, the function of essential minerals is quick reshaping international commerce alliances and strategic priorities.
In Pakistan, many enterprise leaders assume that the entire area ought to align as international competitors for essential minerals and strategic metals is ready to accentuate on account of the truth that main economies rush to safe provide chains for clear vitality and rising applied sciences.
“Lithium, cobalt, nickel, uncommon earth parts and copper have grow to be the spine of contemporary industrial development, powering electrical automobiles, renewable vitality storage programs, semiconductors and superior defence programs,” stated Iftikhar Ali Malik, former president of Saarc Chamber of Commerce and Business.
In response to the Worldwide Power Company, demand for lithium is projected to develop greater than 40 instances by 2040 below sustainable growth eventualities, whereas demand for nickel and cobalt could improve by 20 to 25 instances.
Copper, typically known as the steel of electrification, is predicted to see a surge in consumption as a result of enlargement of renewable energy grids and electrical automobiles. World funding in vitality transition applied sciences reached $2.3 trillion in 2025, underscoring how deeply minerals are actually tied to financial safety.
Malik noticed that because the world shifts in the direction of inexperienced vitality and digital transformation, demand for these sources is rising exponentially, triggering a brand new wave of geo-economic rivalry amongst main nations. He emphasised that growing economies, notably in South Asia, should undertake forward-looking insurance policies to capitalise on this evolving panorama.
Regional cooperation, know-how switch and clear regulatory frameworks, he stated, can be important to draw accountable overseas funding whereas safeguarding nationwide pursuits.
“International locations wealthy in mineral reserves are actually on the centre of strategic partnerships and commerce negotiations,” Malik stated, including that with out correct planning and worth addition, resource-rich nations danger exporting uncooked supplies whereas importing costly completed items. He cautioned that unplanned extraction, environmental degradation and weak oversight may deprive economies of long-term features.
He urged policymakers to spend money on complete geological surveys, trendy mining infrastructure and expert human sources to boost competitiveness.
Stressing the significance of regional collaboration below Saarc platforms, Malik stated built-in provide chains inside South Asia may scale back dependence on extra-regional powers and create stronger bargaining positions in international markets. “The race for essential minerals is just not merely about sources however about technological management and financial resilience in a quickly altering world order,” he added.
Business analysts word that South Asia holds important untapped potential. Geological surveys within the area have recognized copper and gold deposits price billions of {dollars}, whereas renewed curiosity in uncommon earth exploration is rising on account of their use in wind generators and high-performance magnets.
Nevertheless, the area’s mining sector contributes lower than 3% to the general GDP in most economies, in comparison with over 10% in resource-driven nations like Chile or Australia.
Dr Ahmed Naseem, a Lahore-based economist, stated that mineral wealth alone doesn’t assure prosperity. “Historical past reveals that nations typically fall right into a useful resource lure if establishments are weak and transparency is compromised. If South Asian states fail to make sure environmental safeguards, native processing and honest income sharing, the mineral rush may widen inequality as an alternative of strengthening financial resilience.”
He added that international provide chains are more and more formed by sustainability requirements, carbon footprints and traceability necessities, notably within the European Union and North America. With out assembly these benchmarks, exporters may face commerce limitations regardless of having considerable reserves.
“As geopolitical tensions are influencing mineral commerce routes and main economies are signing unique provide agreements, the urgency for strategic planning is rising. Except South Asian nations, together with Pakistan, coordinate insurance policies, spend money on downstream industries and prioritise worth addition, they could miss a uncommon alternative to reposition themselves within the international financial hierarchy,” he stated.
