New Delhi: The Union Cabinet approved the National Critical Mineral Mission (NCMM) on Wednesday with an expenditure of Rs 16,300 crore, coupled with an expected investment of Rs 18,000 crore from public sector enterprises over seven years.
“This mission aims to reduce the dependence on the import of critical minerals and ensure self-reliance,” Information and Broadcasting Minister Ashwini Vaishnaw said after the Cabinet meeting, noting that 24 critical minerals have been identified under the initiative.
The mission targets minerals such as copper, lithium, nickel, cobalt, and rare earth elements, which are crucial for clean energy technologies ranging from wind turbines and electricity networks to electric vehicles and battery manufacturing.
“The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the launch of the National Critical Mineral Mission with an expenditure of Rs 16,300 crore and expected investment of Rs 18,000 crore by PSUs,” the mines ministry stated in its release.
The NCMM will cover the entire value chain, including mineral exploration, mining, beneficiation, processing, and recovery from end-of-life products. It aims to establish a streamlined regulatory approval process for critical mineral mining projects and provide financial incentives for exploration activities. The mission will focus on recovering resources from overburden and tailings while encouraging Indian public sector enterprises and private companies to acquire critical mineral assets abroad. It also includes plans for developing stockpiles within the country.
The government’s strategy includes setting up mineral processing parks and supporting recycling initiatives. The mission will establish a Centre of Excellence on Critical Minerals to promote research in critical mineral technologies.
To support these objectives, the government amended the Mines and Minerals (Development and Regulation) Act, 1957, in 2023, leading to the auction of 24 blocks of strategic minerals. The Geological Survey of India (GSI) has been actively involved, undertaking 368 exploration projects for critical minerals over the past three years, with 195 projects currently in progress for 2024-25.
GSI plans to initiate 227 projects for various critical minerals in 2025-26. The government has also eliminated customs duties on numerous critical minerals in the FY25 budget to boost availability and encourage the establishment of processing facilities in India.
The mission will coordinate with relevant ministries, PSUs, private companies, and research institutions to achieve its objectives, adopting a comprehensive governmental approach to secure the supply of critical minerals for India’s growing clean energy sector.