The Ministry of Heavy Industries answered Unstarred Question No. 1474 on 09.12.2025 regarding the Rare Earth Magnet Incentive Scheme, posed by Shri Shashank Mani. The Union Cabinet approved the "Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnet" with a financial outlay of Rs. 7,280 Crore on November 26th, 2025. As of the answer date, no projects have been sanctioned under the scheme. Consequently, questions regarding the number of projects sanctioned, their locations, investment commitments, estimated employment potential, and proposals from Uttar Pradesh do not arise. The answer was provided by the Minister of State for Heavy Industries, Shri Bhupathiraju Srinivasa Varma.
Key Entities Referenced
Rare Earth Magnet Incentive Scheme: A government initiative aimed at incentivizing the manufacturing of rare earth magnets.
Ministry of Heavy Industries: The government ministry responsible for administering the Rare Earth Magnet Incentive Scheme.
Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnet: The specific scheme approved by the Union Cabinet, with a financial outlay of Rs. 7,280 Crore.
Uttar Pradesh: Indian state from which proposals are being considered under the Rare Earth Magnet Incentive Scheme.
GOVERNMENT OF INDIA
MINISTRY OF HEAVY INDUSTRIES
LOK SABHA
UNSTARRED QUESTION NO. 1474
ANSWERED ON 09.12.2025
RARE EARTH MAGNET INCENTIVE SCHEME
1474. SHRI SHASHANK MANI:
Will the Minister of HEAVY INDUSTRIES be pleased to state:
(a) the number of projects sanctioned under the Rare Earth Magnet Incentive Scheme along with
their locations and investment commitments;
(b) the estimated employment potential generated through these projects; and
(c) whether any proposals from the State of Uttar Pradesh have been approved under the scheme?
ANSWER
THE MINISTER OF STATE FOR HEAVY INDUSTRIES
(SHRI BHUPATHIRAJU SRINIVASA VARMA)
(a): The union Cabinet, Chaired by Hon’ble Prime Minister, approved the “Scheme to Promote
Manufacturing of Sintered Rare Earth Permanent Magnet” with financial outlay of Rs. 7,280 Crore
on 26th November, 2025. No project has been sanctioned under the scheme till date.
(b) & (c): Does not arise.
*********