Visakhapatnam: Japan has sought a reliable supply of rare earth minerals from Andhra Pradesh as both sides look to expand cooperation in critical minerals and industrial development.
The issue was raised during a meeting between Japanese Ambassador Keiichi Ono and Andhra Pradesh Chief Minister N Chandrababu Naidu in Visakhapatnam on Wednesday, ahead of the CII Partnership Summit scheduled for 12–13 November.
According to a state government release, the Japanese delegation emphasised that a steady supply of rare earth minerals would help strengthen the India-Japan partnership in critical mineral supply chains.
Andhra Pradesh Eyes Rare Earth Element Corridor
The discussions come as the Andhra Pradesh government seeks to develop its coastline into a Rare Earth Element Corridor.
State Mines Minister K Ravindra recently said that 16 types of mineral reserves had been identified across more than 16,000 hectares in the state.
According to the Andhra Pradesh Mineral Development Corporation (APMDC), Andhra Pradesh accounts for nearly 25% of India's beach sand mineral resources, making it one of the country's major repositories of these minerals.
The deposits contain ilmenite, rutile, zircon and monazite. Monazite is particularly important as a source of rare earth elements used in several strategic and industrial applications.
Beach Sand Minerals Hold Strategic Importance
Beach sand minerals are used in industries ranging from paints and aerospace to nuclear energy, electronics and renewable power.
Ilmenite and rutile are processed to produce titanium dioxide pigment and titanium metal, while monazite is a source of rare earth oxides used in electronics and clean energy technologies.
The state government has noted that India imports more than 75% of its titanium dioxide pigment requirements, with nearly two-thirds of these imports sourced from China, despite the country's substantial titanium mineral reserves.
Rare earth magnets are another growing area of industrial demand. They are essential for electric vehicle motors, wind turbines, defence equipment and consumer electronics. India's dependence on imported rare earth materials and finished magnets also leaves manufacturers exposed to global supply-chain disruptions.
To develop the sector, APMDC has secured approvals for 10 major beach sand deposits across coastal districts, including Srikakulam, Vizianagaram, Visakhapatnam, Kakinada and Krishna.
In July 2026, the state government reserved an area of 12 square kilometres around three villages in Palnadu district for the Atomic Minerals Directorate for Exploration and Research under the Department of Atomic Energy to explore rare earth elements and associated critical minerals.
Japanese Firms Plan Manufacturing and Technology Investments
The delegation also informed the Chief Minister that Proterial India plans to manufacture amorphous metal in India for the first time. The material is used in high-capacity transformers.
According to the state government, the company plans to begin production at Sri City in December 2026, supported by industrial incentives offered by Andhra Pradesh.
The Japanese representatives also indicated that a new Global Capability Centre (GCC) would be established in Visakhapatnam during 2026 through India-Japan cooperation, drawing on the capabilities of Indian professionals.
The discussions covered opportunities extending beyond mineral supplies to advanced manufacturing and technology services, reflecting the scope for deeper industrial cooperation between Japan and Andhra Pradesh.
