India has taken a significant step toward reducing dependence on imported rare earth magnets, with the Ministry of Heavy Industries hosting a pre-bid conference in New Delhi for its ‘Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnets.’
The conference, held at India Habitat Centre, saw participation from around 25 companies. Officials outlined key features of the scheme, Request for Proposal (RFP) provisions, and the bidding process. Prospective bidders can submit queries via email until April 22, 2026, as specified in the RFP.
The government had issued the RFP on March 20, 2026, inviting proposals to establish integrated NdFeB Rare Earth Permanent Magnet (REPM) manufacturing facilities with a total capacity of 6,000 metric tonnes per annum. The scheme carries a total outlay of ₹7,280 crore.
Under the plan, up to five companies will be selected, with each setting up facilities of up to 1,200 metric tonnes per annum. The bidding process will be conducted online through a two-cover system — Technical Bid and Financial Bid — under the Least Cost System via the Central Public Procurement Portal. The deadline for bid submission is May 28, 2026.
Rare earth permanent magnets are critical for sectors including electric vehicles, renewable energy, consumer electronics, aerospace, and defence. The scheme aims to establish fully integrated manufacturing capabilities, covering the conversion of rare earth oxides into metals, metals into alloys, and alloys into finished magnets.
Officials noted that the initiative is designed to strengthen domestic manufacturing, reduce import dependence, and develop a globally competitive rare earth magnet ecosystem in India.
