New Delhi, India: The Ministry of Heavy Industries (MHI) has received 20 bids for setting up integrated manufacturing facilities for sintered Neodymium-Iron-Boron (NdFeB) rare earth permanent magnets under the government’s domestic manufacturing initiative. The response marks a step forward in efforts to build an indigenous rare earth magnet supply chain in India.
The bids were submitted through a global tender on the Central Public Procurement (CPP) portal for the selection of manufacturers under the Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnet (REPM).
Companies and entities that submitted bids include 20 Microns Limited, Attero Recycling Private Limited, Coal India Limited, Larsen & Toubro Limited, Lohum Magnets & Energy Solutions Private Limited, NEO Performance Materials (Singapore) PTE. LTD., Proterial (India) Limited, Prozeal Green Energy Limited and other bidders.
The Union Cabinet approved the REPM manufacturing scheme on November 26, 2025, with a financial outlay of ₹7,280 crore. MHI subsequently issued the scheme notification on December 15, 2025, while the request for proposal was released on March 20, 2026. The deadline for bids was August 12, with technical bids opened on August 13 in the presence of bidders at the ministry.
The scheme aims to establish 6,000 metric tonnes per annum (MTPA) of integrated rare earth permanent magnet manufacturing capacity in India. The total capacity will be distributed among five beneficiaries, with each eligible beneficiary able to receive up to 1,200 MTPA.
The programme will run for seven years from the date of award, including two years for establishing manufacturing facilities and five years of incentive disbursement linked to REPM sales.
Rare earth permanent magnets are used in electric vehicles, wind turbines, advanced electronics, aerospace and defence systems. The government expects domestic production covering the value chain from NdPr oxide to finished magnets to reduce import dependence and strengthen supply security for Indian industries.
Source: This article is based on an official press release issued by the Press Information Bureau, Ministry of Heavy Industries, Government of India
Press Release: Press Information Bureau
