The government announced that 58 companies have been given the green light to participate in the Incentive Scheme for Promotion of Critical Mineral Recycling. This initiative aims to enhance India’s critical mineral security and foster a circular economy by developing domestic recycling capabilities for crucial minerals found in lithium-ion batteries, e-waste, and industrial scrap. The scheme, part of the National Critical Mineral Mission, has a total budget of Rs 1,500 crore and was officially launched on October 2, 2025, with detailed operational guidelines.
The application window for the scheme was open from October 2, 2025, to April 1, 2026, and witnessed a strong response from various industry stakeholders. Proposals were meticulously assessed by the Project Management Agency, Jawaharlal Nehru Aluminium Research Development and Design Centre, in alignment with the scheme’s criteria. Subsequently, the Executive Committee approved 20 entities on March 30, 2026, and an additional 38 entities on April 29, 2026, totaling 58 eligible participants.
These selected companies, with a combined capacity commitment of around 850 KTPA and an investment pledge of approximately Rs 5,000 crore, cover critical sectors like battery recycling, e-waste processing, and recovery from other waste materials. This diverse representation underscores the significant industry interest and momentum in establishing India’s critical mineral recycling ecosystem. The next phase of the scheme will focus on project implementation, considering capacity development and the start of production by eligible entities for financial backing under the scheme.
India is intensifying its endeavors to boost domestic production of rare earth permanent magnets and explore critical minerals like lithium, with a target production capacity of 5,000 tonnes by 2030, as per an official statement from March. The current demand for rare earth permanent magnets in the country stands at about 4,000 tonnes and is anticipated to surge to nearly 8,000 tonnes by 2030, emphasizing the urgent need to expand domestic capabilities, highlighted Union Minister Dr. Jitendra Singh.
