OECD Seminar on Critical Raw Materials (CRM) in Central Asia

The event brought together representatives of the government of the Republic of Kazakhstan, including the Ministry of Industry and Construction, the Ministry of Finance, and the Ministry of Ecology and Natural Resources, as well as participants from quasi-state and private sectors, internationa.organizations, and the expert and academic community. From the Institute for Economic Research, staff from the Center for Global Economic Studies took part in the seminar.

The objective of the event was to present the key findings of the new OECD review and to expand dialogue among government authorities, businesses, and civil society on the establishment of a sustainable and transparent governance framework for critical minerals (hereinafter – CRM). Against the backdrop of expected multiple growth in global CRM demand driven by the development of green energy, digital technologies, and high-tech industries, Central Asian countries, with significant resource potential, are considered prospective participants in global supply chains.

Central Asia holds substantial reserves of strategically important minerals, the region accounts for 39% of global manganese ore reserves, 31% of chromium, 20% of lead, 13% of zinc, 9% of titanium, 6% of aluminum, and 5% each of copper, cobalt, and molybdenum. Kazakhstan, already the world’s largest uranium producer, can export 21 of the 34 rare earth elements listed on the official EU list. Such resource potential offers the region unique opportunities to participate in global CRM supply chains, while simultaneously highlighting the need to implement modern governance and transparency standards.

The first session, focused on moving from theory to practice in implementing responsible business principles, addressed issues such as increasing supply chain transparency, protecting labor rights, and enhancing participation of local communities and women in mining projects. It was noted that, despite progress in adopting international standards, institutional barriers persist, including conflicts of interest involving state-owned enterprises and limited public engagement in decision-making processes.

During the presentations, experts and representatives of international organizations stressed the need to further strengthen due diligence mechanisms, enhance industrial safety standards, and increase corporate social responsibility. Specifically, OECD economic analyst Egor Polishchuk presented key recommendations for improving transparency and integrity in supply chains, while Nazarbayev University professor Peter Howie emphasized the importance of institutional separation between the state and quasi-state sectors.

The second session focused on environmental risk management in the mining industry. Participants discussed the integration of climate considerations into sectoral policy, including reducing greenhouse gas emissions, efficient management of water and waste, and the development of strategic environmental assessment and impact assessment tools. In particular, OECD Sustainable Infrastructure lead Peline Atamer presented recommendations to improve environmental regulation. It was noted that Kazakhstan has already taken significant steps toward modernizing environmental regulation, notably through the introduction of comprehensive environmental permits, but further improvement of monitoring and control mechanisms and the development of more specific sectoral targets aligned with the national carbon neutrality strategy are needed.

A dedicated segment of the seminar focused on the private sector perspective, where mining companies and business associations highlighted major challenges related to investment, regulatory environment, and tax burden. Participants emphasized the need to ensure predictability and transparency of government policy, as well as the development of processing infrastructure and technologies to increase domestic value addition.

Throughout the discussions, the practical relevance of the OECD review’s findings was repeatedly emphasized. The recommendations cover a wide range of areas, including strengthening the institutional environment, promoting responsible business practices, increasing financial transparency, improving environmental regulation, and enhancing tax policy. Participants noted that implementing these recommendations would not only mitigate risks associated with CRM extraction but also ensure sustainable economic growth, economic diversification, and integration of the region into global value chains.

The seminar concluded with a summary of outcomes and discussions on the next steps for regional cooperation and continued dialogue among all stakeholders. Participation by the Kazakhstan Mining Chamber and a broad range of government and private sector representatives demonstrated strong interest in developing a modern, effective, and sustainable CRM governance model in Central Asia.