Government's 7,280‑crore plan aims to set up 6,000‑tonne REPM capacity

A strategic push to develop India’s rare‑earth permanent magnet industry received an overwhelming response when the Ministry of Heavy Industries announced the receipt of twenty qualified bids.

The initiative, sanctioned by the Cabinet on 25 November 2025, earmarks INR 7,280 crore to foster the production of sintered REPMs. The target is to install integrated manufacturing complexes capable of producing six thousand metric tonnes of magnets each year.

The tender timeline included a request for proposals posted on the CPP portal on 20 March 2026, a pre‑bid meeting on 7 April 2026, and a final submission deadline of 12 August 2026. Technical bids were opened on 13 August 2026.

The scheme distributes the total capacity among five beneficiaries, each receiving a maximum of 1,200 tonnes annually. Over a seven‑year period, the plan combines two years for plant set‑up with five years of sales incentives to ensure market penetration and export potential.