India will not compromise its strategic interest, a cabinet minister said on Wednesday, even as New Delhi and Beijing seek to calm tensions after last month’s border clash in the Himalayas.
A “violent confrontation” in the Galwan Valley in Ladakh left 20 Indian soldiers dead. While India said both sides suffered casualties after troops allegedly fought with makeshift weapons, firearms are limited in border areas under a prior agreement. China did not reveal whether any of its soldiers died in the clash.
It was the first time in more than 40 years that a border confrontation between the two nuclear powers resulted in victims.
“India wants peace,” Pralhad Joshi, India’s minister of coal, mines and parliamentary affairs, told CNBC’s Tanvir Gill.
“At the same time, as Prime Minister (Narendra Modi) has already said, there is no compromise when it comes to the Indian border,” he said. “India will never lose any land and we will never compromise our strategic interest.”
Still, the South Asian country wants peace, but its borders and territories are also “very important,” Joshi added.
India and China’s top military commanders this week launched a third round of talks to ease tensions along their de facto border, also known as the Current Control Line, local media said. Indian forces have also stepped up deployment along the border, they said.
Former diplomats and political commentators have said the altercation in June was a “turning point” in one of Asia’s most important bilateral relations.
There is growing anti-Chinese sentiment in India, and many are calling for a boycott of Chinese brands. Citing security concerns, New Delhi this week banned dozens of Chinese mobile apps, including the popular TikTok short video creation app.
Coal auctions
As minister in charge of India’s coal ministry, Joshi also spoke about the government’s move last month to open commercial coal mining to the private sector, ending decades of restrictions.
A total of 41 coal mines will be auctioned, allowing companies to bid for commercial mining permits. Theoretically, the reforms could reduce India’s dependence on imports to meet its energy needs and are likely to create jobs.
Reports say India’s main coal-producing state sought to delay the auction of coal blocks for commercial mining for six to nine months, fearing weak participation by domestic players and foreign companies due to the pandemic of coronavirus. The state prime minister reportedly said he did not understand why the Modi government hastened its decision to go ahead with the auctions last month.
Joshi said that up to 1,140 people participated in an information and clarification session where 50 to 60 of them were foreign players.
According to the minister, around 329 registrations were made for the auction, adding that he was “pretty sure” that foreign companies will also participate in the auction.
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