Sources say that India is looking for raw materials to make steel from Argentina, Indonesia and Oman

Two sources with direct knowledge said that India would hold talks next month with Argentina, Indonesia, and 'Oman to increase supplies of steelmaking raw materials like coking coal and ore and access technology.

The talks ?are ?expected to begin next month at a global steel summit, described by the Indian government as the country's largest international conference-cum-exhibition, said the sources who did not wish to be identified as the plan was not yet public.

India, which is the second-largest crude steel producer in the world after China, imports ferronickel for the production of stainless steel. Indonesia holds the largest nickel ore reserves. India also imports large amounts of iron ore, mainly from Brazil and Oman, to meet its growing domestic steel demand.

Sources said that India aims to secure lithium imports and other minerals for New Delhi's state NMDC.

Emails seeking comments from the steel ministry and NMDC were not immediately responded to.

Argentina is the fourth largest producer of lithium in the world, which is a critical component for batteries used in electric vehicles and storage of renewable energy. The Indian government stated in January that it wanted to ensure stable supplies of raw materials such as coking coal, lithium, cobalt, and rare earths as it expanded steel production and accelerated its transition to cleaner energies.

India is attempting to increase steel exports in addition to addressing the rising demand at home, which is a result of strong economic growth. New Delhi diversifies its steel export markets away from Europe and towards Asia and the Middle East to offset the European Union's Carbon Tax. This is causing a higher demand for raw materials and a greater output. India's steel sector is facing a severe gas crisis - a result of the Middle East war - which has affected production in small steel units. A unit of the JSW Group also has warned of a possible shutdown. Reporting by Neha arora, editing by Mayank bhardwaj and Lincoln Feast.

(source: Reuters)