Overview
- Basic customs duty is waived on imported capital goods used for critical‑mineral processing to cut project costs and accelerate domestic capacity.
- Support is proposed for Rare Earth Corridors in Odisha, Kerala, Andhra Pradesh and Tamil Nadu to link mining, processing, research and manufacturing.
- Basic customs duty on monazite drops to zero, with select critical minerals to be added to Schedule XII to enable tax deductions for exploration as India targets 1,200 projects by FY31.
- The Rare Earth Permanent Magnet scheme targets 6,000 MTPA of integrated capacity across up to five beneficiaries with sales‑linked incentives and a capital subsidy, with selection to proceed via competitive bidding.
- The package advances the National Critical Mineral Mission’s goal to reduce reliance on Chinese‑controlled processing by mobilizing public investment and building end‑to‑end supply chains for EVs, renewables, electronics and defence.