**Policy Summary: National Critical Mineral Mission (NCMM)**
On January 29, 2025, the Union Cabinet approved the launch of the National Critical Mineral Mission (NCMM) to secure the long-term supply of critical minerals and strengthen India's critical mineral value chains. The mission, spanning seven years from 2024-25 to 2030-31, has a proposed expenditure of Rs. 16,300 crore, with an expected investment of Rs. 18,000 crore from Public Sector Undertakings (PSUs) and other stakeholders.
The NCMM addresses India's dependence on imported lithium, cobalt, and other key materials required for EV batteries. Key steps include amendments to the Mines and Minerals Development and Regulation Act, 1957 (MMDR) via the MMDR Amendment Act, 2023, effective August 17, 2023. These amendments:
* Designate a list of 24 critical and strategic minerals in Part D of Schedule I.
* Remove Lithium, Titanium, Beryl, Niobium, Tantalum, and Zirconium bearing minerals from the list of 12 atomic minerals in Part B of Schedule I, including them in the list of 24 critical and strategic minerals.
* Empower the Central Government to exclusively auction mining leases and composite licenses for critical and strategic minerals specified in Part D of Schedule I, under Section 11D of the Act.
* Provide exploration licenses for 29 minerals included in Schedule VII of the Act.
The Ministry of Mines is also empowered to auction blocks for granting Exploration Licenses under Section 20A of the MMDR Act 1957, via an order dated October 21, 2024. In 2024, the Central Government successfully auctioned 24 blocks of critical and strategic minerals in 4 tranches.
Exploration efforts have increased significantly, with the Geological Survey of India (GSI) undertaking 368 exploration projects focused on critical and strategic minerals over the past three years. In FY 2024-25, 195 projects are being executed, and 227 projects have been approved for the upcoming financial year.
The policy also allows 100% Foreign Direct Investment (FDI) under the automatic route for mining and exploration of metal and non-metal ores. A foreign company may incorporate an Indian subsidiary or invest in an existing Indian company to become eligible for mining and exploration rights.
To further support the critical minerals sector, the Government has eliminated customs duties on 25 minerals and reduced Basic Customs Duties (BCD) on 2 minerals in the Union Budget for 2024-25.
This information was provided by the Minister of State for Heavy Industries, Shri Bhupathiraju Srinivasa Varma, in a written reply in the Lok Sabha.
Key Entities Referenced
National Critical Mineral Mission NCMM: A government initiative to secure the supply of critical minerals and strengthen India's mineral value chains.
Ministry of Mines: The Indian government ministry responsible for the administration and regulation of mines and minerals.
Mines and Minerals Development and Regulation Act, 1957 MMDR: An Indian law that regulates the mining and development of minerals.
MMDR Amendment Act, 2023: Amendments to the Mines and Minerals Development and Regulation Act, 1957, that modifies regulations pertaining to critical and strategic minerals.
Geological Survey of India GSI: An Indian government organization responsible for geological surveys and exploration.
Lithium: A critical mineral used in the production of EV batteries.
Cobalt: A critical mineral used in the production of EV batteries.
Lok Sabha: The lower house of the Parliament of India, where the information was given in a written reply.
Ministry of Heavy Industries
COUNTERING CHINA'S CURBS ON RARE EARTH
MINERALS
Posted On: 29 JUL 2025 4:36PM by PIB Delhi
As per the information received from Ministry of Mines, the Union Cabinet has approved the launch of the
th
National Critical Mineral Mission (NCMM) on 29 January, 2025, for a period of seven years from 2024-25
to 2030-31, with a proposed expenditure of Rs.16,300 crore and an expected investment of Rs.18,000 crore by
Public Sector Undertakings (PSUs) and other stakeholders.The NCMM aims to secure a long-term sustainable
supply of critical minerals and strengthen India’s critical mineral value chains encompassing all stages from
mineral exploration and mining to beneficiation, processing, and recovery from end-of-life products.
In order to boost domestic production and reduce India’s dependence on imported lithium, cobalt
and other key materials required for EV batteries, the Government of India has taken significant
steps, which are as under:
The Mines and Minerals (Development and Regulation) Act, 1957 (MMDR) has been amended through the
MMDR Amendment Act, 2023 w.e.f. 17.08.2023. The Amendment Act, 2023 provides for:
i. A list of 24 critical and strategic minerals in Part D of Schedule-I.
ii. Omission of six minerals from the list of 12 atomic minerals in Part B of Schedule-I namely
Lithium, Titanium, Beryl and beryllium bearing minerals, Niobium, Tantalum and Zirconium
bearing minerals and their inclusion in the list of aforesaid 24 critical and strategic minerals.
iii. Section 11D of the Act, which empowers Central Government to exclusively auction mining
lease and composite license for critical and strategic minerals specified in Part D of the Schedule-
I.
iv. Exploration license for 29 minerals included in Schedule-VII of the Act.
In addition, Ministry of Mines has been empowered to auction blocks for grant of Exploration License
st
through an order dated 21 October, 2024 under Section 20A of MMDR Act 1957. Central Government has
successfully auctioned 24 blocks of critical and strategic minerals in 04 tranches in 2024.
The exploration of critical minerals has been significantly increased. Over the past three years, the
Geological Survey of India (GSI) has undertaken 368 exploration projects focused on critical and
strategic minerals. In the FY 2024-25, 195 projects are being executed and 227 projects have been
approved for the upcoming financial year.
100% FDI is allowed under “Automatic” route for mining and exploration of metal and non-metal
ores. A foreign company may incorporate an Indian subsidiary company or invest in an existing
Indian Company to become eligible for grant of mining and exploration rights.
To support the critical minerals sector, Government has eliminated customs duties on 25 minerals
and reduced Basic Customs Duties (BCD) on 2 minerals in the Union Budget for 2024-25.
This information was given by the Minister of State for Heavy Industries, Shri Bhupathiraju Srinivasa
Varma in a written reply in the Lok Sabha today.
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TPJ/NJ(Release ID: 2149747)