India’s New Rare Earth Supply Chain
Union Finance Minister Nirmala Sitharaman proposed dedicated rare earth corridors in coastal Odisha, Kerala, Andhra Pradesh and Tamil Nadu to promote mining, processing, R&D and manufacturing from beach sand deposits (BSM; principal RE ore) with monazite (phosphate mineral with Uranium and Thorium) yielding neodymium/praseodymium. Plan supports 6,000 MTPA integrated REPM capacity via 5 competitively bid beneficiaries (up to 1,200 MTPA each), with Rs 6,450 crore sales-linked incentives over 5 years plus Rs 750 crore capital subsidy; builds on National Critical Minerals Mission and Magnet Manufacturing Scheme. REPMs aid EVs, renewables, electronics, aerospace, defence; India imported >53,000 MT magnets in FY ending March 2025; consumption may double by 2030.




