Business News | India's Rare Earth Magnet Scheme Gets 20 Bids; L&T, Coal India, ReNew Among Bidders
Get latest articles and stories on Business at LatestLY. The government's Rs 7,280-crore scheme to promote domestic manufacturing of rare earth permanent magnets has received 20 bids, including from Larsen & Toubro, Coal India and ReNew, for setting up integrated manufacturing facilities in the country, the Ministry of Heavy Industries said on Thursday.
New Delhi [India], August 13 (ANI): The government's Rs 7,280-crore scheme to promote domestic manufacturing of rare earth permanent magnets has received 20 bids, including from Larsen & Toubro, Coal India and ReNew, for setting up integrated manufacturing facilities in the country, the Ministry of Heavy Industries said on Thursday.
The bids were received through a global tender for selection of manufacturers under the Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnet (REPM), according to a press release issued by the ministry.
Also Read | Chamoli Tunnel Collapse: Several Workers Trapped at THDC Project, 10 Rescued; Rescue Ops Underway (Videos).
It said the Ministry of Heavy Industries (MHI) received 20 bids through Global Tender on CPP portal for Selection of Manufacturers for establishing integrated Sintered NdFeB Rare Earth Permanent Magnet Manufacturing Facilities.
The bidders also include Attero Recycling, 20 Microns, Lohum Magnets & Energy Solutions, NEO Performance Materials (Singapore), Proterial (India), Prozeal Green Energy.
Also Read | Google Pixel 11 vs Google Pixel 10: Should You Upgrade to New Model?.
The scheme aims to establish a total domestic manufacturing capacity of 6,000 metric tonnes per annum (MTPA) of integrated rare earth permanent magnets. The capacity will be allocated to five beneficiaries selected through a global competitive bidding process, with each beneficiary eligible for up to 1,200 MTPA.
"The Scheme, a first-of-its-kind initiative, aims to establish a total capacity of 6,000 Metric Tons Per Annum (MTPA) of integrated Rare Earth Permanent Magnet manufacturing facilities in India," the ministry noted.
The Union Cabinet had approved the scheme in November 2025 with an outlay of Rs 7,280 crore, while the Ministry of Heavy Industries floated the request for proposal in March this year. The deadline for submitting bids was August 12 and technical bids were opened on Thursday in the presence of bidders.
Rare earth permanent magnets are critical components used in electric vehicles, wind turbines, high-end electronics, aerospace and defence systems. The government is seeking to build an integrated domestic supply chain covering production from neodymium-praseodymium (NdPr) oxide to finished magnets.
"By building a complete value chain from NdPr oxide to finished magnets in India, the Scheme is expected to significantly reduce import dependence in this sector," the ministry said.
The scheme will run for seven years from the date of award, including a two-year period for setting up manufacturing facilities and five years for incentive disbursement on the sale of rare earth permanent magnets.
The government expects domestic manufacturing under the programme to strengthen the supply of critical magnets to industries including electric mobility, renewable energy, electronics and defence. (ANI)
(The above story is verified and authored by ANI staff, ANI is South Asia's leading multimedia news agency with over 100 bureaus in India, South Asia and across the globe. ANI brings the latest news on Politics and Current Affairs in India & around the World, Sports, Health, Fitness, Entertainment, & News. The views appearing in the above post do not reflect the opinions of LatestLY)