NEWS

• The NCMS is a strategic initiative by the Government of India to secure rare earth elements (REEs) and other critical minerals essential for green technologies.
• Launched under the National Critical Minerals Mission (NCMM), it aims to mitigate supply chain vulnerabilities following China’s export restrictions on rare earth magnets.

HIGHLIGHTS

Background and Rationale

• China produces over 70% of global REEs, controlling key components for EVs, wind turbines, electronics, and defence.
• India’s growing reliance on clean energy, electric mobility, and high-tech industries necessitates domestic supply security.
• NCMS ensures strategic autonomy and mitigates risks of global disruptions.

Objectives of NCMS

• Maintain a two-month reserve of strategic minerals.
• Encourage private sector participation in procurement, stockpiling, and management.
• Support domestic REE processing and magnet production.
• Act as a buffer against market volatility and geopolitical risks.
• Phase 1: Rare earth elements; future expansion: lithium, cobalt, nickel, graphite, titanium.

Strategic Importance of REEs

• REEs include neodymium, praseodymium, dysprosium, europium, among others.
• Applications:
  • Electric vehicle motors and batteries
  • Wind turbines
  • Smartphones, laptops, semiconductors
  • Defence and aerospace systems

Implementation Framework

• Ministry of Mines leads, coordinated with Heavy Industries & Department of Science & Technology.
• Establish stockpiles of processed oxides and magnets.
• Public–private partnerships for procurement and logistics.
• Funded via ₹500 crore under NCMM.

Challenges

• Technological gaps in REE separation and refining.
• Limited domestic production capacity.
• Environmental and regulatory concerns.

Future Outlook & Significance

• Expand NCMS to lithium, cobalt, nickel, copper for batteries and renewable systems.
• Strengthen supply chain resilience and support Make in India and Atmanirbhar Bharat initiatives.
• Transform India into a strategic stakeholder in the global critical minerals ecosystem