Yangon: China enjoys a monopoly on rare earth that is needed as much in your smartphone as in hybrid cars. The world is now looking at Myanmar to have an alternate source of this precious commodity.
Myanmar is known to have rare earth like Xenotine, Monazite, Columbite and Tantalite, says crcnetbase.com
The reforms brought about by President Thein Sein has led the tech-savvy and wide-eyed industrial giants to look at Myanmar's deposits.
Despite their name, rare earths are relatively common within the earth's crust. But because of their geochemical properties, they are not often found in economically exploitable concentrations.
China has a stranglehold over rare earths, controlling over 95 per cent of the worldwide trade.
It produces the majority of two important rare earths, Dysprosium (99 per cent) and Neodymium (95 per cent).
Other countries do have rare earth but China's low-cost labour and not too tight environmental restrictions have given it a big advantage.
Knowing well the politics of business, South Korea struck a rare earth deal with Myanmar in 2010.
Rare earths are vital for technology products including smartphones and hybrid cars. It is also used in computer discs and guided missiles as well as in TV screen and microphones.
According to the US Geological Survey, approximately 13 million metric tonnes of rare earth elements (REE) exist within known deposits in the US.
