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Sandstorm: India and China’s Silent War in Sri Lanka

While Anura’s government was opening doors for India to explore Sri Lanka’s mineral sands, China had hoped to dominate the Pulmoddai mines once the NPP government secured political power in the North and East.

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Mineral factory in Pulmooddai [Photo Credit: Lanka Mineral Sands Ltd]

Prabhakaran showed greater interest in Sri Lanka’s mineral sands than previous Sri Lankan governments. He instructed the LTTE not to attack the country’s mineral sand resources. At the same time, he blocked water supplies to the sites and disrupted shipping activities.

China, like Prabhakaran, was also keen on Sri Lanka’s mineral sands. Following the end of the war, China moved to purchase these resources and eventually became the primary buyer. With the support of Mahinda Rajapaksa’s government, 2023 saw the largest quantity of Sri Lankan mineral sand exported to China. Pulmoddai hosts the country’s largest mineral sand reserves.

India was slow to recognise China’s growing interest in the Pulmoddai mineral sands. Long before Donald Trump attempted to negotiate over Ukraine’s mineral sands, India had already begun exploring the possibility of a deal with Sri Lanka.

In 2024, Anura’s government facilitated Indian involvement, thereby pushing China into a secondary position in the mineral sand race. In February 2025, Industries Minister Sunil Handunnetti visited India and discussed a memorandum of understanding with India’s Minister of Mining. Last week, representatives from several reputed Indian mining firms visited Sri Lankan mining sites.

While Anura’s government was opening doors for India to explore Sri Lanka’s mineral sands, China had hoped to dominate the Pulmoddai mines once the NPP government secured political power in the North and East. Currently, India leads in this contest for mineral sand supremacy. However, it remains too early to declare a definitive winner.

What is clear is that this battle for control over mineral sands places the Sri Lankan government in a difficult position.

Upul Joseph Fernando

Upul Joseph Fernando is a senior journalist and political analyst based in Colombo. He is a contributing editor of Mawrata News, a Sinhala-language daily online newspaper.

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