The strategic shift in India’s critical minerals policy and its role in technological sovereignty
India is repositioning critical minerals as a core pillar of its industrial and energy security. The 2026 Budget reflects this shift by removing import duties on capital goods for processing and reducing duties on monazite sands. The government has launched the National Critical Mineral Mission (NCMM) with a ₹16,300 crore outlay to discover and process 30 identified minerals. To de-risk exploration, India is adopting an AI-first approach and leveraging international partnerships with the US, UK, and Australia. The goal is to build a domestic ecosystem for batteries, solar modules, and electric vehicles while ensuring technological sovereignty in a turbulent global market.
Key Points
- The National Critical Mineral Mission (NCMM) targets 1,200 exploration projects by FY2031 to secure mineral supply chains.
- India has identified 30 critical minerals, including lithium and beryllium, which were previously classified as restricted atomic minerals.
- The strategy emphasizes 'AI-first' exploration, utilizing seismic AI tools like Mission Anveshan for hydrocarbon and mineral discovery.
- International collaboration through the UK-India Critical Minerals Supply Chain Observatory is a key component of the strategy.
- The government aims to create rare earth corridors across coastal states to boost regional growth and global demand.
Exam Facts
- Budgetary Outlay: ₹16,300 crore for the National Critical Mineral Mission (NCMM).
- Target: 1,200 exploration projects by FY2031.
- Policy: Removal of import duties on monazite sands and capital goods for mineral processing.
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