Request for Proposal (RFP) under the scheme was released last month for setting up integrated Rare Earth Permanent Magnet (REPM) manufacturing facilities in India. MHI targets supporting 6000 million tonnes per annum (MTPA) production capacity with Rs 7,280 crore outlay.
Bidding will be held online under the Least Cost System (LCS) mechanism. The last date for submitting the bids is May 28, 2026. The Government will select maximum of five entities through the bidding process, with each entity setting up facilities of up to 1,200 MTPA.
REPMs are vital for electric vehicles, renewable energy, electronics, aerospace, and defence applications. The Scheme will support the creation of integrated REPM manufacturing facilities, PM Indiainvolving conversion of rare earth oxides to metals, metals to alloys, and alloys to finished REPMs.
This is expected strengthen domestic manufacturing capabilities, reducing import dependence, and supporting the development of a globally competitive REPM ecosystem in India.