The Ministry of Heavy Industries has received strong industry interest for its ₹7,280 crore scheme to promote domestic manufacturing of sintered rare earth permanent magnets, with at least 25 companies participating in a pre-bid conference held on Tuesday, 7 April 2026 in New Delhi
The pre-bid conference was organised to engage prospective bidders and provide clarity on the scheme framework, Request for Proposal (RFP) provisions, and bidding procedures.
Queries raised by industry participants were addressed during the session, with the ministry setting 22 April 2026 as the last date for submission of further queries.
The strong turnout at the conference signals early industry traction for the scheme, which aims to establish integrated rare earth permanent magnet manufacturing capacity in India.
The Ministry of Heavy Industries had issued the RFP on 20 March 2026, inviting bids for setting up facilities with a total capacity of 6,000 metric tonnes per annum (MTPA), backed by a scheme outlay of ₹7,280 crore.
The bidding process will be conducted online through a transparent two-stage system comprising technical and financial bids under the Least Cost System (LCS) mechanism via the Central Public Procurement portal.
The government plans to select up to five entities through the process, with each selected company permitted to establish manufacturing capacity of up to 1,200 MTPA.
The deadline for submission of bids has been set as 28 May 2026.
Rare Earth Permanent Magnets (REPMs) are critical components used in electric vehicles, renewable energy systems, electronics, aerospace and defence applications, making them strategically important for India’s industrial and technological ecosystem.
The scheme seeks to create fully integrated manufacturing facilities covering the entire value chain, from processing rare earth oxides to producing finished magnets.
The initiative is expected to reduce import dependence, strengthen domestic manufacturing capability, and position India as a competitive player in the global rare earth magnet supply chain.
