The Union Cabinet, chaired by Prime Minister Narendra Modi, has given its approval to the National Critical Mineral Mission (NCMM), with an outlay of Rs 34,300 crore over the next seven years.
Of this, Rs 16,300 crore will come from government expenditure and the remaining Rs 18,000 crore are expected from investments by public sector undertakings (PSUs).
Recognizing the importance of minerals for achieving Atmanirbhar Bharat, this comprehensive initiative aims at securing access to vital minerals for high-tech industries, clean energy, and defense. The NCMM which was announced in the 2024-25 Budget, now sets a clear roadmap.
The mission encompasses all stages of the critical mineral value chain, from exploration and mining to beneficiation, processing, and even recovery from end-of-life products.
Key objectives include intensifying exploration activities within India and its offshore areas, streamlining the regulatory approval process for mining projects, and providing financial incentives for exploration. The NCMM also aims to encourage Indian companies, both public and private, to acquire critical mineral assets abroad and strengthen trade relations with resource-rich nations. Building strategic stockpiles of these minerals within the country is another key component.
The mission’s scope extends to the development of mineral processing parks, support for critical mineral recycling, and the promotion of research and development in related technologies, including the establishment of a Center of Excellence on Critical Minerals. A “whole-of-government” approach will be adopted with close collaboration between relevant ministries, PSUs, private sector companies, and research institutions.
The Mines and Minerals (Development and Regulation) Act, 1957, has been amended in 2023 to increase exploration and mining of critical minerals. Consequently, the Ministry of Mines has auctioned 24 blocks of strategic minerals. Further, the Geological Survey of India (GSI) has undertaken 368 exploration projects, with 195 projects currently underway in FS 2024-25. Further, for FY 2025-26, GSI is going to take up 227 projects.
To foster innovation, the Ministry launched the Science and Technology—Promotion of Research and Innovation in Start-ups and MSMEs (S&T PRISM) program in 2023, funding start-ups and MSMEs to bridge the gap between R&D and commercialization.
Moreover, KABIL, a JV of the Ministry of Mines, has acquired an area of about 15703 ha in the Catamarca province of Argentina for exploration and mining of lithium. With the elimination of customs duties on the majority of critical minerals, it is expected that more industry will set up processing facilities in India.
The NCMM underscores India’s commitment to securing its critical mineral supply chains and positioning itself as a key player in the global technology and clean energy sectors.
