New Delhi, Nov. 27 -- India's cabinet on Wednesday green-lighted a Rs.7,280 crore scheme to incentivize the manufacture of rare earth permanent magnets over seven years. The aim is to be able to produce 6,000 metric tonnes annually of these critical inputs that go into a wide range of products, from electric vehicles to electronics.

A recent clampdown on their supply by China amid a trade tussle with the US had caused disruptions globally. So New Delhi is understandably trying to cushion Indian industry against such adversity. The tenure of the scheme, however, offers a hint of how long self-sufficiency could take.

In the near-term, there may be no option but to rely on imports. Since rare earth inputs are scarce too, it's important to ...