**Summary:**
In response to Lok Sabha Unstarred Question No. 2882, addressed on August 6, 2025, the Ministry of Mines outlines the government's initiatives to promote the recycling and recovery of critical minerals.
The National Critical Mineral Mission (NCMM), approved on January 29, 2025, is the central framework for enhancing domestic capacity and supply chain resilience. A key component of the NCMM is a ₹1,500 crore incentive scheme designed to promote the recycling of e-waste, lithium-ion battery waste, and other materials for the extraction of critical minerals like lithium, cobalt, nickel, and rare earth elements.
The Ministry of Mines supports circular economy models in the mineral sector through its Science & Technology Programme. This support extends to R&D institutions, startups, and MSMEs, with a focus on recycling initiatives. Funding eligibility for R&D institutes, including IITs, requires partial industry contribution, ensuring industry involvement in mineral recycling R&D. Khanij Bidesh India Ltd. (KABIL) focuses on acquiring critical mineral assets overseas, rather than domestic recycling infrastructure.
A key challenge identified is the limited support for the mineral recycling industry. The ₹1,500 crore incentive scheme within the NCMM aims to address this. Due to the early stage of development of the critical mineral recycling industry, national targets for recycled content in critical mineral usage have not yet been specified.
Key Entities Referenced
SHRI P C MOHAN: Member of Parliament who raised the question regarding recycling and recovery of critical minerals.
MINISTRY OF MINES: The Indian government ministry responsible for policies related to the mining sector.
lithium: A critical mineral mentioned in the context of recycling and recovery.
cobalt: A critical mineral mentioned in the context of recycling and recovery.
nickel: A critical mineral mentioned in the context of recycling and recovery.
rare earth elements: A group of critical minerals mentioned in the context of recycling and recovery.
National Critical Mineral Mission NCMM: A mission set up to increase domestic capacity and build supply chain resilience in critical minerals.
Khanij Bidesh India Ltd. KABIL: An organization whose primary role is to seek critical mineral assets overseas.
GOVERNMENT OF INDIA
MINISTRY OF MINES
LOK SABHA
UNSTARRED QUESTION No. 2882
ANSWERED ON 06.08.2025
RECYCLING AND RECOVERY OF CRITICAL MINERALS
2882. SHRI P C MOHAN:
Will the Minister of MINES be pleased to state:
(a) whether the Government has launched or proposed any schemes or incentives to
promote the recycling and recovery of critical minerals such as lithium, cobalt, nickel and
rare earth elements;
(b) if so, the details of such schemes including their scope, financial outlay, targeted
sectors (e.g., battery manufacturing, e-waste) and current beneficiaries;
(c) whether the Government is encouraging Public-Private Partnerships (PPPs), R&D or
circular economy models for mineral recycling;
(d) the role of institutions such as Khanij Bidesh India Ltd. (KABIL), IITs and industry
stakeholders in developing recycling infrastructure and technology;
(e) the challenges identified by the Government in scaling up mineral recycling and the
steps being taken to address them; and
(f) whether India has set any national targets for recycled content in critical mineral usage
especially in sectors like EVs, electronics and renewable energy, if so, the details thereof?
ANSWER
THE MINISTER OF COAL AND MINES
(SHRI G. KISHAN REDDY)
(a) & (b): The National Critical Mineral Mission (NCMM), set up following the approval by
the Union Cabinet on 29.01.2025, comprises key interventions for increasing domestic
capacity and building supply chain resilience in critical minerals. A ₹1,500 crore incentive
scheme for promotion of recycling of used products such as e-waste, lithium-ion battery
waste and other waste for separation and extraction of critical minerals such as lithium,
cobalt, nickel and rare earth elements is a part of the Mission.
(c) & (d): To aid circular economy in the mineral sector through recycling, support is
extended to R&D institutes and to Start-ups and MSMEs under the Science & Technology
programme of the Ministry of Mines. Recycling is one of the focus areas in the programmeand R&D institutes including IITs have to seek partial industry contribution to be eligible
for funding. Role of the industry, besides institutes like IITs, in undertaking R&D in the
mineral sector including recycling is thus ensured under the said programme. The role of
Khanij Bidesh India Ltd. is primarily to seek critical mineral assets overseas.
(e) & (f): Lack of support to industry hinders scaling up of mineral recycling, and hence,
an incentive scheme has been made a part of the NCMM. The development of the
industry for recycling of critical minerals being in an early stage, national targets for
recycled content in critical mineral usage have not been specified.
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