Home India MINES Parliament Question: India’s Critical Mineral Supply Chains ...
Date: 2026-02-04 Category: Not Applicable State: Union Government Country: India

Parliament Question: India’s Critical Mineral Supply Chains to Reduce Import

Issued by MINES · Not Applicable

Research with AI Agent Chat with Document Generate Summary Translate Helpful Share Add to Project Create Task

Executive Summary & Key Takeaways

**Executive Summary** The Minister of Mines answered questions in Lok Sabha regarding India's critical mineral supply chains on 04.02.2026. The Union Cabinet approved the establishment of the National Critical Mineral Mission (NCMM) on 29.01.2025 to secure the supply chain and strengthen mineral value chains. The NCMM aims to reduce import dependence for strategic sectors, with targets set for exploration projects, mineral recycling, skill development, and more by FY 2030-31. **Key Points / Main Content** * **National Critical Mineral Mission (NCMM):** * Approved on 29.01.2025 to secure critical mineral supply chains. * Aims to strengthen India's critical mineral value chains across all stages, from exploration to recovery. * Focuses on reducing import dependence for sectors like electronics, clean energy, and manufacturing. * **Government Initiatives:** * Geological Survey of India (GSI) intensified critical mineral exploration. * 195 projects in 2024-25 and 230 projects in 2025-26. * National Mineral Exploration and Development Trust (NMEDT) sanctioned exploration projects. * 62 projects in 2024–25 and 60 projects in 2025–26. * MMDR Act amended in 2025 to expand NMEDT's scope to support overseas exploration and mining. * 46 blocks of Critical and Strategic Minerals have been auctioned. * ₹1,500 crore Incentive Scheme approved to promote critical mineral recycling, launched on 02.10.2025. * Guidelines issued for funding pilot projects to recover critical minerals from overburden/tailings on 14.11.2025. * KABIL signed an Exploration and Development Agreement with CAMYEN for lithium exploration in Argentina. * **Monazite Safeguards:** * Threshold value amended to "0.00% in Total Heavy Minerals (THM)". * BSM exports brought under State Trading Enterprise. * **NCMM Targets (FY 2024-25 to 2030-31):** * Domestic Critical Mineral Exploration Projects: 1200 * Foreign Critical Mineral Mines: 50 * Incentive scheme for recycling - total materials recycled (kt): 400 * Patents in critical mineral value chain: 1000 * Skill development: 10000 * Mineral Processing Parks: 4 * Centre of Excellence: 3 * Mineral Stockpile (cumulative): 5 * **NCMM Framework:** * Periodic refinement of criticality assessment based on supply risk and economic importance. * Updating the list of critical minerals for India and assessing associated risks. * Demand assessments aligned with industrial and technological requirements, as well as risk mitigation. **Impact Analysis** **Ministry of Mines** * **Impact** * Responsible for implementing the National Critical Mineral Mission (NCMM). * Overseeing exploration, mining, recycling, and related initiatives. * Ensuring safeguards against diversion and manipulation of critical minerals. * **Action Required** * Monitor progress against NCMM targets. * Refine criticality assessment periodically. * Coordinate with stakeholders and implement risk mitigation strategies. **Electronics, Clean Energy, and Manufacturing Sectors** * **Impact** * Securing a sustainable and diversified supply of critical minerals. * Reducing dependence on foreign sources for essential materials. * Supporting growth and innovation through a robust domestic value chain. * **Action Required** * Collaborate with the Ministry of Mines and participate in industry coordination efforts. * Leverage opportunities for domestic sourcing and value addition. * Develop strategies to manage supply chain risks and ensure resilience. **Domestic and Foreign Companies (Mining and Exploration)** * **Impact** * Opportunities to participate in exploration, mining, and processing of critical minerals. * Subject to regulations and safeguards to prevent diversion and manipulation. * Potential collaborations with central PSUs and other private companies. * **Action Required** * Engage in exploration and mining activities in accordance with government guidelines. * Implement measures to prevent diversion, manipulation, and hoarding. * Explore partnerships and collaborations to strengthen the supply chain. **States and Industry** * **Impact** * States need to work in coordination to help secure a long-term supply of critical minerals * Industry needs to work in coordination to help secure a long-term supply of critical minerals * **Action Required** * Coordination and communication to ensure cooperation for a sustainable supply of critical minerals

Key Entities Referenced

National Critical Mineral Mission (NCMM): A mission approved by the Union Cabinet to secure India's critical mineral supply chain and strengthen the critical mineral value chains. Mines and Minerals (Development and Regulation) Act (MMDR Act), 1957: The act amended in 2025 to expand the scope of the National Mineral Exploration and Development Trust (NMEDT) to support critical mineral exploration and mining overseas. Ministry of Mines: The ministry responsible for overseeing the development of the mining sector in India, including the critical minerals supply chain. Argentina: Location where Khanij Bidesh India Limited (KABIL) has signed an Exploration and Development Agreement with CAMYEN for exploration and mining of Lithium Brine Blocks. Geological Survey of India (GSI): An organization that has intensified exploration of critical minerals in India.
Official Source Record View Original Source →
See Full Document Text
GOVERNMENT OF INDIA MINISTRY OF MINES LOK SABHA UNSTARRED QUESTION NO. 745 ANSWERED ON 04.02.2026 INDIA'S CRITICAL MINERAL SUPPLY CHAINS TO REDUCE IMPORT 745. SHRI VIJAYAKUMAR ALIAS VIJAY VASANTH: Will the Minister of MINES be pleased to state: (a) whether the Government categorically assures that India's critical mineral supply chains will be resilient, diversified and capable of supporting the country's electronics, clean energy and manufacturing ambitions without undue foreign dependency and if so, the details thereof and if not, the reasons therefor; (b) whether any safeguards exist to prevent diversion, manipulation and hoarding by domestic or foreign companies taking into account the strategic importance of rare earth elements for clean energy and defence technology and if so, the details thereof and if not, the reasons therefor; (c) whether the Government plans to integrate domestic mining, refining and manufacturing to reduce dependence on imports and if so, the details thereof along with the timelines and targets set for achieving self-reliance and if not, the reasons therefor; and (d) whether the Government has undertaken any risk analysis to evaluate the impact of global price volatility or geopolitical tensions on critical mineral availability and if so, the details thereof along with contingency measures in place and if not, the reasons therefor? ANSWER THE MINISTER OF COAL AND MINES (SHRI G. KISHAN REDDY) (a) to (d): The Union Cabinet has approved the setting up of the National Critical Mineral Mission (NCMM) on 29.01.2025 with the objectives of securing India's critical mineral supply chain and strengthening the critical mineral value chains. The NCMM envisions securing 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 coordination with States and industry, with a view to reducing import dependence for strategic sectors such as electronics, clean energy and manufacturing.Further, NCMM provides an enabling framework for strengthening supply chain resilience, including a joint initiative between central PSUs and with private companies to guard against supply disruptions by foreign companies and aid mineral supply for domestic utilisation. Moreover, to meet current and future requirements of critical minerals, the Government has adopted a comprehensive strategy and taken several initiatives, which inter-alia include the following: i. Geological Survey of India (GSI) has intensified exploration of critical minerals. GSI carried out 195 critical mineral exploration projects in 2024-25, and took up 230 projects in 2025-26 across the country. In addition, the National Mineral Exploration and Development Trust (NMEDT) sanctioned 62 projects for critical mineral exploration during 2024–25 and 60 projects during 2025–26 to Notified Private Exploration Agencies (NPEAs)/Notified Exploration Agencies (NEAs). ii. The Mines and Minerals (Development and Regulation) Act (MMDR Act), 1957 has been amended in 2025 whereby the scope of NMEDT has been expanded to support critical mineral exploration and mining overseas. iii. Since the amendment to the MMDR Act in 2023, Central Government has successfully auctioned 46 blocks of Critical and Strategic Mineral. In addition, 7 blocks have been auctioned under the Exploration Licence regime, out of which 3 are critical mineral blocks. iv. The Union Cabinet has approved a ₹1,500 crore Incentive Scheme to promote critical mineral recycling. The Scheme Guidelines were issued and the Scheme was launched on 02.10.2025. v. Guidelines for funding pilot projects for the recovery of critical minerals from overburden/ tailings/ fly ash/ red mud, etc were issued on 14.11.2025. vi. Khanij Bidesh India Limited (KABIL) has signed an Exploration and Development Agreement with CAMYEN, a state-owned enterprise of Catamarca province of Argentina, for exploration and mining of five Lithium Brine Blocks in Argentina covering an area of 15703 Ha. Further, following safeguards to prevent diversion, manipulation & hoarding of monazite, the principal ore of REEs in India, are in place: i) Ministry of Mines vide notification No. GSR No. 134(E) dated 20.02.2019 amended the threshold value of Monazite for BSM occurring in teri or placer deposits as "0.00% in Total Heavy Minerals (THM) under Atomic Minerals Concession Rules 2016" thus ensuring complete government control over mining of prescribed substance Monazite occurring within the Beach Sand Minerals (BSM). ii) Further, Ministry of Commerce and Industry notified export policy on BSM vide Directorate General of Foreign Trade notification No.26/2015-2020 dated21.08.2018 under which exports of BSM have been brought under State Trading Enterprise. The NCMM outlines the following outputs/targets: Key heads Total (FY 2024-25 to 2030- 31) Domestic Critical Mineral Exploration Projects 1200 Foreign Critical Mineral Mines 50 Incentive scheme for recycling - total materials 400 recycled (kt) Patents in critical mineral value chain 1000 Skill development 10000 Mineral Processing Parks 4 Centre of Excellence 3 Mineral Stockpile (cumulative) 5 As envisaged in the NCMM, the framework includes provisions for periodic refinement of the criticality assessment based on supply risk and economic importance, updating the list of critical minerals for India, and assessment of associated risks in consultation with stakeholders. The Mission also provides for demand assessments aligned with industrial and technological requirements, as well as risk mitigation. *****

Continue your research