Developing A Domestic Ecosystem For Battery Raw Materials

GOVERNMENT OF INDIA MINISTRY OF HEAVY INDUSTRIES RAJYA SABHA UNSTARRED QUESTION NO. 1685 ANSWERED ON 13.02.2026 DEVELOPING A DOMESTIC ECOSYSTEM FOR BATTERY RAW MATERIALS

1685. SHRI P. WILSON:

Will the Minister of Heavy Industries be pleased to state:

(a) whether Government has taken note of reports highlighting the lack of a domestic ecosystem for battery raw materials, including critical mineral refining, cell components and precursor materials, for lithium-ion battery manufacturing in India;

(b) the extent of import dependence for key raw materials such as lithium, cobalt, nickel, graphite and cell components;

(c) whether this dependence has adversely affected the objectives of the Advanced Chemistry Cell (ACC)-Production Linked Incentive (PLI) scheme; and

(d) the steps being taken to develop domestic processing, refining and manufacturing capacity for battery raw materials and to reduce reliance on imports? ANSWER THE MINISTER OF STATE FOR HEAVY INDUSTRIES (SHRI BHUPATHIRAJU SRINIVASA VARMA)

(a) to (d): The Ministry of Heavy Industries is administering the Production Linked Incentive (PLI) scheme, namely “National Programme on Advanced Chemistry Cell (ACC) Battery Storage,” approved in May 2021 with a total outlay of ₹18,100 crore to establish 50 GWh of domestic Advanced Chemistry Cell manufacturing capacity.

The Scheme aims to reduce India’s dependence on imported ACCs by strengthening domestic manufacturing capabilities and incentivising large domestic and international players to establish a globally competitive ACC battery-manufacturing ecosystem in the country.

However, at present, the domestic demand continues to be met largely through imports.

This initiative of the Government of India has acted as a catalyst for Indian cell manufacturers to setup cell manufacturing units. Besides the PLI ACC scheme applicants, at least 10 manufacturers have announced a cumulative capacity of about 178 GWh in the country over the next five years. Further, the scheme has raised demand for components like cathode active materials, anode active materials, foils, etc., and Indian manufacturers have announced component manufacturing and recycling units.

Further, as per information received from Ministry of Mines, Ministry of Mines is implementing the National Critical Mineral Mission (NCMM), approved on 29th January, 2025 to secure a long-term sustainable supply of critical minerals and strengthen India’s critical mineral value chain encompassing all stages from mineral exploration and mining to beneficiation, processing, and recovery from end-of-life products.

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