Morrison to focus on tech deals in talks with India’s Modi

Scott Morrison is expected to use a visit to India in January to seek deals for co-operation on critical technologies and minerals.

Scott Morrison greets Indian Prime Minister Narendra Modi during a bilateral meeting at the G20 summit in Osaka, Japan, in June. Picture: AAP

Plans are under way for Scott Morrison to use a state visit to India in January to seek deals with New Delhi for co-operation on critical technologies and minerals, in a bid to counter Chinese dominance in hi-tech sectors.

Tech partnerships will be high on the Prime Minister’s agenda when he sits down with counterpart Narendra Modi, with a proposal to use Australia’s expertise and India’s scale to develop artificial intelligence, quantum computing and “internet of things” technologies.

By working with India, Australia hopes to lessen its reliance on Chinese technology, and contribute to an alternative set of standards that will prevent Beijing from setting the ground rules in key technologies.

Australia is also interested in supporting India to develop a domestic critical minerals processing industry, which would provide Western nations with an alternative to sourcing the materials from China.

The Australian understands there have been official-level talks to allow Mr Morrison and Mr Modi to sign agreements on both issues during the visit.

The Prime Minister told the Lowy Institute last month that India was “a natural partner for Australia”, and referred to its “shared values” — a point of differentiation with China.

“My visit will be another step in cementing India in the top tier of Australia’s partnerships,” Mr Morrison said.

During his trip, he will address India’s Raisina Dialogue, the country’s flagship international conference on geopolitics and ­economics.

Australia is a recognised leader in quantum computing research, while the federal government has developed a road map for the country to take a leadership ­position in the field of artificial ­intelligence.

Australia also has large ­reserves of critical minerals, including rare earths used in smartphones, computers and ­defence technologies, and lithium used in battery manufacture.

But the environmental and ­financial costs of rare earth processing has prevented Australia from gaining ground in the sector against China, where lax regu­lations have allowed it to dominate the global market.

Former Department of Foreign Affairs and Trade secretary Peter Varghese identified critical minerals as a key area for co-operation in his 2018 report, An India Economic Strategy to 2035. He said India, which also has rare earth reserves and mining projects, was trying to “promote rare earth mineral exploration and production from a very low base”.

Mr Varghese recommended Australia “explore options to work with India, and potentially a third country such as Japan, on the ­development of India’s rare earth minerals and critical metals ­refining capacity”.

In his report, Mr Varghese also recommended the scaling up of joint research efforts with India.

Mr Morrison’s visit to India ­follows the revival and elevation of the Quadrilateral Security Dialogue between Australia, the US, India and Japan — a grouping of the democratic nations that attempts to promote a free and open Indo-­Pacific, countering the spreading influence of totalitarian China.