The government clarified that India does not rely on China for accessing rare earth minerals found in Beach Sand Minerals (BSM), a key source of Rare Earths (RE) in the country. Union Minister Dr. Jitendra Singh mentioned in a statement to Rajya Sabha that BSM contains monazite, a phosphate mineral rich in Rare Earth Elements, Uranium, and Thorium.
IREL (India) Limited, a PSU under the Department of Atomic Energy, produces high-purity rare earth oxides from Monazite, a RE-bearing mineral. The minister highlighted that IREL operates in three locations with mining and processing facilities for mineral sands, along with extraction and refining units for rare earths.
In a move to enhance the rare earth value chain domestically, a Rare Earth Permanent Magnet plant has commenced operations in Vizag for manufacturing Samarium Cobalt magnets. Additionally, mini plants for producing Lanthanum, Cerium, and Neodymium metals have been set up at the Rare Earth and Titanium Theme Park in Bhopal by IREL.
To promote the recycling of Rare Earth Elements, IREL has established a plant at the Rare Earth Titanium Theme Park in Bhopal to recover magnetic rare earths from end-of-life magnets. The Cabinet approved a scheme with a Rs 7,280 Crore financial outlay on November 26, 2025, aimed at boosting the manufacturing of Sintered Rare Earth Permanent Magnets (REPM) in India.
The objective is to establish an integrated REPM manufacturing capacity of 6,000 metric tonnes per annum in the country. The scheme envisions five beneficiaries through global competitive bidding, with a transparent Least Cost System (LCS) involving technical and financial bids. A sales-linked incentive of Rs 6,450 crore and a capital subsidy of Rs 750 crore have been allocated for the scheme period to promote domestic REPM manufacturing.
