National Critical Mineral Mission

National Critical Minerals Mission (NCCM): Securing India’s Strategic Mineral Future

Implementation & Oversight:

• Ministry: Ministry of Mines
• Duration: FY 2024–25 to FY 2030–31
• Total Funding:
  • ₹16,300 crore direct financial outlay
  • ₹18,000 crore additional funding to be mobilized from Public Sector Undertakings (PSUs)

Core Objectives of NCCM:

1. Secure India’s Critical Mineral Supply Chains
   • Reduce dependency on imports, especially from geopolitically sensitive sources.
2. Ensure Mineral Availability
   • Develop both domestic and international sources through exploration, joint ventures, and strategic partnerships.
3. Strengthen the Mineral Value Chain
   • Build capacities in:
     • Mining
     • Beneficiation
     • Processing
     • Recycling
   • Support through improved technological, regulatory, and financial ecosystems.
4. Promote Innovation and Skill Development
   • Enhance global competitiveness
   • Support R&D and upskilling in mineral-related sectors

Critical Minerals Identified (24 Total):

• Includes:
  • Lithium
  • Vanadium
  • Tungsten
  • Molybdenum
  • Platinum Group Elements (PGEs)
  • Rare Earth Elements (REEs)
  • Potash
  • And others considered vital for green tech, defence, and digital sectors

Governance Framework:

• Mission Secretariat:
  • Led by Joint Secretary, Ministry of Mines
  • Staffed with:
    • Geologists
    • Mineral economists
    • Industry professionals (mining, processing, finance)
• Empowered Committee on Critical Minerals:
  • Chair: Cabinet Secretary
  • Members: Key ministries and stakeholders from across the government and industry

Current Status:

• India remains a net importer of most critical minerals, owing to either:
  • Absence of domestic reserves
  • Limited production capabilities
• FY24 Import Bill (excluding lithium):
  • ~₹30,000 crore
  • Phosphorus imports highest at ₹12,648 crore
• Rare Earth Elements (REEs):
  • The only category in which India was a net exporter during FY24

1. Increasing Domestic Critical Mineral Production

• Expanded Exploration and Mining:
  Scale up exploration and production in identified domestic reserves, including offshore mining opportunities.
• Fast-Track Regulatory Approvals:
  Streamlined processes for granting clearances to exploration and mining projects.
• Exploration Licences (EL):
  Designed to encourage private participation in early-stage mineral exploration.
• Critical Mineral Processing Parks:
  Establish dedicated zones for processing, refining, and value addition of critical minerals.

2. Acquisition of Critical Mineral Assets Abroad

• Strategic Overseas Investment:
  Government to earmark funds to support exploration and acquisition of critical mineral assets in foreign countries.
• Public and Private Sector Participation:
  Central PSUs and private companies to be encouraged to invest in overseas assets.
• High-Level Coordination:
  The Empowered Committee will guide inter-ministerial efforts and support acquisition strategies.
• Global Infrastructure Collaboration:
  Ministry of Mines to coordinate with the Ministry of External Affairs (MEA) to negotiate logistics and evacuation infrastructure in host countries.

3. Recycling of Critical Minerals

• Incentivizing Recycling:
  Launch of an incentive scheme to support setting up mineral recycling units.
• Recycling Advisory Group:
  A dedicated group to provide guidance on recycling policy and innovation.

4. Trade and Market Development

• Global Trade Relations:
  Enhance strategic trade ties with resource-rich nations.
• Import Duty Reforms:
  Remove import duties on critical minerals to lower acquisition costs.
• National Critical Minerals Stockpile:
  Establish a reserve to ensure supply security during global disruptions.