Set to bolster EV and semiconductor tech; the much-anticipated National Critical Minerals Mission has an estimated outlay of nearly ₹200 billion, which the Cabinet might greenlight today.
India is set to launch its National Critical Minerals Mission (NCMM) with a proposed outlay of ₹150 to 200 billion, aimed at securing essential resources such as lithium, both domestically and abroad. The mission is expected to be presented for Cabinet approval on January 29, 2025, according to a report by the Hindu businessline.
Announced in the 2024 Union Budget after the third term of the Modi government, the NCMM will be overseen by an Empowered Committee chaired by the Cabinet Secretary, which will also guide foreign investment strategies.
The mission’s objectives between FY25 and FY31 include securing ownership of around 50 critical mines or blocks overseas, distributing them equally between public and private sectors.
Lithium, a key component for technologies like electric vehicles (EVs), semiconductors, and other advanced technologies, will be a central focus of this initiative. In addition to that, 23 other minerals—such as molybdenum, vanadium, nickel, platinum group elements, niobium, and rare earth elements—have been identified as critical.
The mission’s key components are anticipated to include domestic exploration and mining activities, aiming for at least 1200 exploration projects, along with the auctioning of nearly 100 critical mineral blocks. Offshore mining will also be a priority, with plans to acquire resources abroad and fund exploration efforts.
Further support is being planned for junior mining companies, with financial incentives and the involvement of institutions like the World Bank, Asian Development Bank, and the International Monetary Fund (IMF).
Other mission components under consideration include establishing recycling facilities, boosting research and development, and creating critical mineral processing parks. Additionally, there will be a focus on skill development through human resource training.
The mission will also explore regulatory changes to enhance the recovery of critical minerals from existing resources, including overburden, tailings, fly ash, and red mud.
Other targets of the undertaking include the creation of 1000 patents, development of a skilled workforce of 10,000, and the establishment of three to five processing parks and similar centres of excellence. These targets may be adjusted once the final mission guidelines are confirmed.
