| Posted On:Mine Mountain| 25-Feb
Description :-
As of early 2026, IREL (India) Limited is the pioneer in producing Rare Earth Permanent Magnets (REPMs) in India. The company operationalized the country’s first dedicated REPM manufacturing plant at Visakhapatnam in 2023.
National Target
Under the Government’s Rare Earth Permanent Magnet Manufacturing Scheme, India aims to establish a total domestic production capacity of 6,000 metric tonnes per annum (MTPA) by 2026, strengthening self-reliance in critical minerals and EV supply chains.
Government Organizations Involved
Private Sector Participants
Strategic Significance
This initiative is critical for reducing India’s dependence on imported rare earth magnets, particularly for EV motors, wind turbines, electronics, and defence applications, and aligns with the broader critical minerals and Make-in-India strategy.
Government Policy and Role of Ministry of Mines:
Towards the end of 2025, the Government of India, under the guidance of the Ministry of Mines, sanctioned a ₹7,280 crore “Scheme to Promote Manufacturing of Rare Earth Permanent Magnets (REPM)”
The scheme has the objectives to establish 6,000 Metric Tonnes Per Annum (MTPA) of REPM manufacturing capacity in India and stimulate the setting up of REPM manufacturing plants through sales-based incentives (₹6,450 crore) and capital subsidies (₹750 crore) over a seven-year period. Govt. of India shortlisted a maximum of five beneficiaries through global competitive bidding, each of whom will be capable of manufacturing a maximum of 1,200 MTPA of magnets.
Production Targets & Outlook:
Ministry of Mines reports in early 2026 indicate that the Indian government is set to initiate large-scale domestic production of rare earth permanent magnets by late 2026, in collaboration
