New Delhi: Prime Minister Narendra Modi-led Union Cabinet approved the National Critical Mineral Mission (NCMM). The mission, entailing an expenditure of Rs 16,300 crore and anticipated investments of Rs 18,000 crore from public sector units (PSUs), signifies a significant step towards securing the nation’s supply of these essential resources, said the Press Information Bureau in a statement Wednesday.
Critical minerals are crucial for high-tech industries, clean energy transitions, and national defense, it added. In line with India’s vision of self-reliance in critical minerals, the Finance Minister announced the establishment of the Critical Mineral Mission in the 2024-25 Union Budget on 23rd July 2024.
Encompassing the entire value chain, from exploration and mining to beneficiation, processing, and recovery, the mission aims to intensify domestic exploration efforts and streamline regulatory approvals for critical mineral projects, the statement said.
Financial incentives will be provided to encourage exploration, while initiatives will focus on recovering these minerals from overburden and tailings.
The NCMM also seeks to encourage Indian companies, both in the public and private sectors, to acquire critical mineral assets abroad and strengthen trade ties with resource-rich nations. The establishment of a stockpile of critical minerals within the country is also prioritized.
Furthermore, the mission will support the development of mineral processing parks, promote recycling, and fund research in critical mineral technologies. The mission proposes setting up a Centre of Excellence on Critical Minerals.
The NCMM will operate under a “whole-of-government” approach, collaborating with relevant ministries, PSUs, private companies, and research institutions.
Several initiatives have already been undertaken to pave the way for the NCMM. The Mines and Minerals (Development and Regulation) Act, 1957, was amended in 2023 to facilitate increased exploration and mining of critical minerals.
The Ministry launched the S&T PRISM program in 2023 to encourage innovation. This program provides funding to bridge the gap between research and commercialization for startups and MSMEs working on critical mineral technologies.
The government has also eliminated customs duties on most critical minerals in the 2024-25 Union Budget, aiming to boost domestic availability and encourage the establishment of processing facilities within India.