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India Sets Year-End Start for Rare‑Earth Magnet Production in Critical Minerals Drive

The government frames the move as a shift from raw material dependence to domestic value creation powered by major funding plus state processing parks.

Overview

  • Union Mines Minister G Kishan Reddy said permanent magnet production will begin by end‑2026 under a ₹7,280 crore scheme targeting 6,000 MTPA integrated capacity.
  • Work under the ₹32,000 crore National Critical Minerals Mission has started, with more than 4,000 exploration activities and nine Centres of Excellence announced.
  • Andhra Pradesh, Odisha, Maharashtra and Gujarat have been selected for critical‑mineral processing units, with Gujarat underway and Andhra Pradesh prepared to proceed.
  • The ministry cited roughly 95% import dependence and detailed support measures including customs duty exemptions and National Mineral Exploration Trust funding for private explorers and overseas projects.
  • India is engaging the United States, France and Canada on alternative supply chains as reporting cites China’s roughly 87–90% hold over rare‑earth processing.