Bengaluru, June 24 -- India is preparing an incentive scheme to boost domestic rare earth magnet production, aiming to cut dependence on Chinese imports amid supply disruptions. In FY25, India imported over 53,000 tonnes of rare earth magnets, mostly from China. For FY26, Indian firms are targeting indigenous supply chains, with market growth projected at 5.1% CAGR.

The Ministry of Heavy Industries and the Department of Atomic Energy are set to finalise a Rs. 1,000 crore scheme within 10-15 days to boost domestic production of rare earth magnets. These magnets are crucial for electric vehicles, electronics, and defence. The initiative aims to reduce import dependence and strengthen India's strategic manufacturing capabilities in high-tec...