New Delhi: The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the launch of the National Critical Mineral Mission (NCMM), aimed at strengthening India’s supply chain for critical minerals essential to clean energy technologies, high-tech industries, and defence manufacturing.
The mission has been allocated Rs 16,300 crore, with an additional Rs 18,000 crore expected to be invested by Public Sector Undertakings (PSUs) and other stakeholders.
This initiative aligns with India’s Atmanirbhar Bharat vision and aims to reduce import dependence, ensure energy security and develop domestic processing capabilities. The mission will focus on all stages of the critical mineral value chain, including exploration, mining, processing, and recycling.
Union Minister Ashwini Vaishnaw highlighted the fact that “the National Critical Mineral Mission is part of all the decisions in the science and technology field, worth Rs 84,000 crore in total, approved during Prime Minister Narendra Modi’s third term, aiming at strengthening India’s research, innovation and industrial self-reliance”.
Comprehensive Plan for Critical Minerals
Union Minister Vaishnaw emphasized the strategic importance of the mission, stating: “How to remove all the import dependence, how to become Atmanirbhar, how to process minerals in India with value addition, how to conduct better exploration, how to acquire mineral blocks in foreign countries if needed—an entire comprehensive plan has been embedded in this National Critical Mineral Mission. The initial phase will be for six years. Twenty-four critical minerals have been identified.”
The mission will also secure India’s energy transition goals and national security interests, ensuring the availability of key minerals like lithium, cobalt, and rare earth elements.
Government and Industry Collaboration
The mission will adopt a whole-of-government approach, working closely with relevant ministries, PSUs, private companies, and research institutions.
A Mission Steering Committee, chaired by the Cabinet Secretary, will oversee the execution. Vaishnaw highlighted that consultations with industry stakeholders, state governments, scientists, and CSIR laboratories played a crucial role in shaping the policy.
“In the last budget speech, the announcement for the National Critical Minerals Mission was made. After consulting with industry stakeholders, state governments, scientists, and CSIR labs, this mission got approved. Apart from the Rs 16,300 crore allocation, Rs 18,000 crore will be raised through PSUs, making it a Rs 34,300 crore mission,” stated Vaishnaw.
The Ministry of Mines has already taken steps to increase exploration and mining of critical minerals, with the Geological Survey of India (GSI) initiating 368 projects over the past three years.
For FY 2025-26, GSI plans to undertake 227 additional exploration projects. The government has also removed customs duties on most critical minerals in the Union Budget 2024-25, making their availability easier for Indian industries.
Focus Areas of the National Critical Mineral Mission
The mission will cover:
- Accelerated Exploration & Mining: Fast-tracking regulatory approvals and increasing private-sector participation in mineral block auctions.
- Processing & Value Addition: Establishing mineral processing parks and supporting the domestic refining industry to reduce reliance on imported minerals.
- Acquisition of Overseas Assets: Encouraging Indian PSUs and private firms to acquire mineral resources abroad, similar to KABIL’s recent lithium mining acquisition in Argentina.
- Stockpiling & Trade: Creating a strategic stockpile of critical minerals and boosting trade with resource-rich countries.
- Technology & Innovation: Investing in R&D and startups working on critical mineral extraction, processing, and recycling technologies.
Geological Survey and Private Sector Participation
Sanjay Lohiya, Additional Secretary, Ministry of Mines, explained how the government’s exploration strategy will integrate geospatial technology and private-sector participation: “We explore through the Geological Survey of India. A time-bound baseline geoscience survey is underway across India. Potential areas are detected using IT-based analysis, followed by detailed exploration. Every year, around 1,000 projects are conducted, with about 200 dedicated to critical minerals over the past two years. Apart from government agencies, private exploration firms are also involved.”
To foster innovation in the critical mineral sector, the government launched the Science and Technology – Promotion of Research and Innovation in Start-ups and MSMEs (S&T PRISM) program in 2023. The initiative funds startups and MSMEs, covering 75 per cent of their research costs, with the remaining 25 per cent to be arranged by the companies.
“There is a science and technology program going on for the critical minerals sector. We provide funding for 75 per cent of research projects to startups, while they contribute the remaining 25 per cent. This model has been running successfully for a year now. With PSUs, we also fund private exploration agencies, and this will be expanded under the new mission,” said Lohiya.
Vaishnaw stressed that the mission’s outlay will be flexible, adapting to industry needs, emerging technologies, and global supply chain dynamics.
“This mission is flexible. PSUs will be the anchor, while technical partners will support exploration. The mission’s budget and allocations will evolve as the steering committee finalizes projects. The focus will be on acquiring assets abroad, increasing domestic exploration, developing technologies, and recycling critical minerals.”
The National Critical Mineral Mission represents a strategic shift in India’s approach to securing critical mineral supplies, reducing dependency on imports, and fostering self-reliance in clean energy technologies.
With a Rs 34,300 crore investment, the mission is set to boost domestic exploration, establish local processing capabilities, and strengthen trade partnerships, ensuring India remains a key player in the global green economy and high-tech industries.
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