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In a significant move towards self-reliance, Union Coal and Mines Minister G Kishan Reddy has said that India is aiming to begin Rare Earth Permanent Magnet (REPM) production this year itself, making a decisive steps in reducing import dependence on critical materials crucial for the electric vehicles and renewable energy sectors. His statement comes amid India's focus on securing supplies of neodymium, praseodymium and other rare earths, with the mines ministry auctioning exploration blocks and approving recycling facilities.

The minister said India faces shortage of processing units for critical minerals like lithium, nickel, and cobalt and processing remains a key challenge. To address this, he said the government has identified four states - Andhra Pradesh, Odisha, Maharashtra, and Gujarat - for establishing Critical Mineral Processing Plant Parks. He said the Gujarat government has already begun work, and Andhra Pradesh is ready to proceed. He said ‘I will soon meet the chief ministers of Odisha and Maharashtra to discuss setting up these plants.’ He stated that building a complete value-added chain is essential, otherwise India will remain dependent on other countries for processed critical minerals.

India is marking a key step towards self-reliance in critical minerals by establishing a domestic ecosystem for REPMs - high-performance magnets essential for electric vehicles, wind turbines, electronics, aerospace, and defence. To support this goal, the government has approved the 'Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnets' with a financial outlay of Rs.7280 crore in November 2025. This first-of-its-kind initiative aims to establish 6,000 Metric Tons per Annum (MTPA) of integrated REPM manufacturing in India, thereby enhancing self-reliance and positioning India as a key player in the global REPM market. The Scheme involves conversion of rare earth oxides to metals, metals to alloys, and alloys to finished REPMs.