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National Critical Mineral Mission (NCMM)

NCMM

  • Genesis: In Budget for 2024-25, establishment of Critical Mineral Mission was announced. 
  • Key Objective: To secure India''s critical mineral supply chain by ensuring mineral availability from domestic and foreign sources.
  • Coverage: It will encompass all stages of the value chain, including mineral exploration, mining, beneficiation, processing, and recovery from end-of-life products.
  • Key Features: 
    • It will offer financial incentives for critical mineral exploration and promote the recovery of these minerals from overburden and tailings.
    • It aims to create a fast track regulatory approval process for critical mineral mining projects. 
    • It will encourage Indian PSUs and private sector companies to acquire critical mineral assets abroad and enhance trade with resource-rich countries.
    • It proposes development of stockpile of critical minerals within the country.
    • It includes provisions for setting up of mineral processing parks.
    • Mining in offshore areas (Polymetallic nodules contain minerals like Cobalt, REE, etc.)
  • Governance Framework:
    • Activities will be coordinated by the Empowered Committee on Critical Minerals. 
    • Ministry of Mines will be the administrative Ministry.

The Mission will follow a whole-of-government approach which means it will work closely with relevant ministries, PSUs, private companies, and research institutions to achieve its objectives.

India’s net import dependency of Critical mineral

Critical Mineral

Percentage dependency

Major Import Sources (2020)

Lithium

100%

Chile, Russia, China, Ireland, Belgium

Cobalt

100%

China, Belgium, Netherlands, US, Japan

Nickel

100%

Sweden, China, Indonesia, Japan, Philippines

Vanadium

100%

Kuwait, Germany, South Africa, Brazil, Thailand

Niobium

100%

Brazil, Australia, Canada, South Africa, Indonesia

Germanium

100%

China, South Africa, Australia, France, US

Rhenium

100%

Russia, UK, Netherlands, South Africa, China

Beryllium

100%

Russia, UK, Netherlands, South Africa, China

Tantalum

100%

Australia, Indonesia, South Africa, Malaysia, US

Strontium

100%

China, the US, Russia, Estonia, Slovenia

Zirconium(zircon)

80%

Australia, Indonesia, South Africa, Malaysia, US

Graphite(natural)

60%

China, Madagascar, Mozambique, Vietnam, Tanzania

Manganese

50%

South Africa, Gabon, Australia, Brazil, China

Chromium

2.5%

South Africa, Mozambique, Oman, Switzerland, Turkey

Silicon

<1%

China, Malaysia, Norway, Bhutan, Netherlands

 

Critical Minerals

  • Definition: Critical minerals are minerals which are essential for economic development and national security of any country. The lack of availability or concentration of existence, extraction or processing of these minerals in few geographical locations may lead to supply chain vulnerability and disruption.

Economic Importance + Supply Risk = Criticality of Minerals

PGE Group of Elements refers to Platinum Group Elements—namely platinum (Pt), palladium (Pd), rhodium (Rh), ruthenium (Ru), iridium (Ir), and osmium (Os). These six rare metals share similar physical and chemical properties, such as high melting points and excellent catalytic qualities, and are found together in specific mineral deposits often associated with nickel and copper deposits. They are important for high-technology sectors, including automotive (catalytic converters), electronics, and medical equipment.

Rare Earth Elements (REEs)

  • REE are a group of 17 chemical elements.
  • They comprise the 15 lanthanide elements, along with scandium and yttrium.
  • They are relatively abundant in Earth’s crust.
  • They are rare because they are found in low concentrations and mixed with other minerals, making them difficult and expensive to extract.
  • REEs are used to make magnets for electric vehicles (EVs), wind turbines, weapons, etc.
  • They are used in electric vehicle (EV) motors, medical devices, weaponry, etc.
  • REEs are divided into Heavy (HREEs) and Light (LREEs).
  • LREEs are abundant, while HREEs are more critical due to their high demand and low availability.
  • Among LREEs, neodymium is the most critical as it is extensively used in all mobile phones, medical equipment and electric vehicles.
  • HREEs (like dysprosium, yttrium, and cerium) are critical for clean energy technologies; however, due to their limited supply, they have a small market.
  • REEs available in India: Lanthanum, Cerium, Neodymium, Praseodymium and Samarium, etc.

RARE EARTH ELEMENTS
  • India has released a list of 30 critical minerals for India including Bismuth, Cobalt, Copper, Phosphorous, Potash, Rare Earth Elements (REE), Silicon, Tin, Titanium, etc.
  • Currently, India has heavy reliance on imports of critical minerals. 

Significance of Critical Minerals

Environment 

  • Crucial for renewable energy technologies such as solar panels, wind turbines, and semiconductors.
  • Also, crucial for Battery Energy Storage Systems (BESS).

National Security 

  • Essential for India''s defense sector, including missile systems, aerospace, and communication technologies.

 

Economic & Electronic 

  • Shift to electric vehicles (EVs) requires lithium-ion batteries.
  • Essential for semiconductor chips in smartphones, computers, and communication devices.

Six Critical Elements Opened for Private Mining

Lithium

    • Lithium is a non-ferrous, soft, silvery-white alkali metal.
    • It is also called ‘white gold’ due to its high demand for rechargeable batteries.

Properties

    • Under standard conditions, it is the least dense metaland the least dense solid element.
    • Like all alkali metals, it is highly reactiveand flammable, so it must be stored in vacuum, inert atmosphere, or inert liquid (such as purified kerosene or mineral oil).
    • It exhibits a metallic lustre. But it corrodes quickly in the airto a dull silvery grey, then black tarnish.

Occurrence

    • It never occurs freely in naturebut occurs mainly as pegmatitic minerals.
    • Due to its solubility as an ion, it is present in ocean waterand commonly obtained from brines (high-concentration salt solution in water).
    • Lithium metal is isolated electrolyticallyfrom a mixture of lithium chloride and potassium chloride.

Pegmatite is a coarse-textured igneous rock that forms during the final stage of magma’s crystallisation. It contains large crystals and minerals rarely found in other types of rocks.

Global Reserves and Production

    • Countries with largest reserves:1st Bolivia > 2nd Argentina > 3rd Chile > 4th US > Australia > China.
    • 54% of the world’s lithium reservesare in three South American countries: Argentina, Bolivia, and Chile. The area is referred to as the ‘Lithium Triangle’.
    • Top Producers:1st Australia > 2nd Chile > 3rd China > 4th Aregentina > 5th Zimbabwe

Uses

    • Lithium-ion batteriesare used in laptops, mobiles, electric vehicles, wind turbines, solar panels, etc.
    • It is used to make alloys with aluminium and magnesium, which are stronger but lighter.
    • It is used in nuclear reactions, the ceramics and glass industry, and lubricating greases.
    • It is also used for carbon dioxide removaland air purification (esp. in confined areas, such as spacecraft and submarines).

Titanium

    • Titanium is a metal that has a silver-grey appearance.
    • Properties:high strength, lightweight, and is corrosion-resistant, heat resistant (due to high melting point), and biocompatible (compatible with living tissues and has low reactivity with the human body).
    • Occurrence:found in nature only as an oxide, not in its pure metallic form.
    • It is found in various minerals,rocks, and soils. It is also present in plants, animals, natural waters, deep-sea dredgings, meteorites, and stars.
    • Ores:The most abundant titanium ore is ilmenite. Other titanium ores include rutile and titanite.
      • Ilmenite:It is an iron-black, heavy, metallic oxide mineral. It is composed of iron and titanium oxide. It is commonly found in igneous rocks.
      • Rutile:It has a distinctive reddish-brown colour and a higher titanium dioxide content than ilmenite. It occurs in igneous and metamorphic rocks and is often found in association with ilmenite.
      • Titanite:It is a calcium titanium silicate mineral. It is green, yellowish-green, brown, or black in colour. It is commonly found in metamorphic and igneous rocks.

An oxide is a chemical compound that contains at least one oxygen atom bonded to one or more other elements. Oxides are formed when an element reacts with oxygen.
    • Top Producers of Titanium:1st China > 2nd Russia > 3rd Japan > 4th Kazakhstan > 5th Ukraine
    • Uses:nuclear applications, defence, aerospace, marine, and construction industries, high-performance alloys, electrical goods, medical implants, and jewellery.

Zirconium

    • Zirconium is a greyish-white metal.
    • Properties:soft, malleable, lustrous, ductile, and corrosion-resistant.
    • Occurrence:zircon mineral (zirconium silicate) commonly found in beach sands.
    • Baddeleyite(pure zirconium dioxide) is the only other important zirconium mineral.
    • Top Producers:1st Australia > 2nd South Africa > 3rd China > 4th Ukraine > 5th Mozambique
    • Uses:nuclear applications, aerospace and defence industries, production of superalloys, capacitors, medical implants, ceramics, and zircon Gemstones.

Beryllium

    • Beryllium is a steel-grey metalwith chemical properties resembling those of aluminium.
    • Properties:light, high melting point, excellent thermal conductivity, low density and brittle.
    • Occurrence:It does not occur freely in nature. It is primarily extracted from beryl and bertrandite minerals. Beryl forms gemstones, such as emeralds and aquamarine.
    • Top Producers of Beryllium:1st United States > 2nd China > 3rd Mozambique > 4th Brazil > 5th
    • Uses:nuclear applications, aerospace and defence industries, production of alloys and semiconductors (due to its ability to improve the electrical performance of semiconductors).
    • Beryllium is transparent to X-rays, making it an ideal material for X-ray windows.

Niobium

    • Niobium is a grey metal that looks like steelor, when polished, like platinum.
    • Properties:It is soft, ductile, corrosion-resistant, and superconductive (at low temperatures).
    • Occurrence:It is primarily obtained from the minerals columbite-tantalite (coltan) and pyrochlore.
    • Top Producers of Niobium:1st Brazil > 2nd Canada > 3rd Rwanda > 4th Nigeria > 5th
    • Uses:nuclear applications, alloys, electronic components, orthopaedic and dental implants, etc.

Tantalum

    • Tantalum is bright, silver-grey metal.
    • Properties:It is very hard and has high density, high melting point, and corrosion resistance.
    • Occurrence:It is obtained from the mineral columbite-tantalite (coltan).
    • Columbite-tantalite is a black-to-brownish-black mineral that contains both niobiumand tantalum.
    • Top Producers:1st Democratic Republic of Congo > 2nd Brazil > 3rd Rwanda > 4th Nigeria > 5th
    • Uses:nuclear applications, aerospace and defence industries, production of capacitors, medical implants, super alloys, etc.

Roadblocks to India''s Critical Mineral Security

  • Limited Domestic Reserves: India does not have many critical mineral reserves, or its requirements may be higher than the availability.
    • E.g., currently, there are no working mining leases for cobalt, nickel, lithium, and neodymium for production purposes.
  • Challenges in Exploration: Many critical minerals are deep-seated, requiring high-risk investments in exploration and advanced mining technologies. 
    • E.g. Presence of 5.9 million tonnes lithium deposits in Jammu and Kashmir.
  • Supply chain Disruptions: Production and processing of many critical minerals are geographically concentrated, making global supply vulnerable to several risks.
    • China controls 60% of rare earth production, 60% of critical minerals production and 80% of the processing worldwide.
      • In 2024, China banned exports of gallium, germanium, antimony, and other key materials to US (weaponising critical mineral exports). 
    • Democratic Republic of Congo supplies ~70% of the world''s cobalt, but political instability has led to supply disruptions.
  • Environmental Concerns: Mining and processing of critical minerals often have significant environmental footprint resulting in protests from local population and environmental groups.
    • E.g., An estimated 54% of critical materials lie near indigenous people''s land. (International Renewable Energy Agency (IRENA))
  • Inadequate recycling infrastructure: Recycling of critical minerals from e-waste is underdeveloped, with the sector remaining largely unorganized and inefficient.

Other Initiatives taken for critical Minerals 

Policy and Regulatory Framework

  • Mines and Minerals (Development and Regulation) Amendment Act, 2023: It enables exploration and mining of critical minerals. 
  • National Mineral Policy, 2019: It promotes sustainable mining and exploration of critical minerals.
  • Elimination of customs duties on majority of the critical minerals in Union budget 2024-25

Exploration and Domestic Production

  • Geological Survey of India (GSI): Conducting extensive exploration for lithium, rare earths, and other critical minerals.
  • Lithium Reserves Discovery (2023): Significant lithium deposits found in Reasi, Jammu & Kashmir.
  • Strategic Mineral Reserves: Plans to establish reserves for critical minerals like lithium and cobalt.

International Collaborations & Trade Agreements

  • Khanij Bidesh India Limited (KABIL), 2019: A joint venture company of Ministry of Mines to acquire critical minerals globally.
  • KABIL has engagements with countries like Argentina, Australia etc.
  • Minerals Security Partnership (MSP): India joined the US-led initiative to ensure a stable critical minerals supply chain in 2023.

Strategies for long-term critical mineral security

  • Strengthening Domestic Critical Mineral Production:
    • Exploring alternative allocation mechanisms to attract more private investment, such as granting exploration companies the right to mine the minerals they discover.
    • Increase public and private investment in geological surveys, exploration technologies, etc. 
  • Developing Domestic Processing Capabilities: Provide financial incentives, tax breaks, and other policy support to encourage private and public sector companies to invest in processing facilities.
    • Special Economic Zones (SEZs) focused on critical mineral processing can be established.
  • Need for Robust Global Cooperation: Strengthening bilateral and multilateral partnerships with mineral-rich countries and other key stakeholders to secure access to critical mineral supplies.
  • Develop a Comprehensive Critical Minerals Strategy (CMS): It can help focus on priority concerns in supply risks, domestic policy regimes, and sustainability.
    • Conduct periodic detailed assessments of India''s critical mineral needs across various sectors.
    • Setting up state-of-the-art e-waste recycling facility, introducing a nationwide "Recycle for Resources" campaign to increase public awareness and participation in e-waste recycling, etc.
    • Diversifying import sources from various countries.
  • Role of State Government: Infrastructure Development- Develop transportation, power, and storage infrastructure near Critical Mineral mining areas, etc. 

Securing critical minerals is crucial for India''s economic growth, energy transition, and national security. Strengthening domestic mining, refining, and recycling, along with a robust National Critical Minerals Strategy, will help reduce import dependence and ensure long-term supply stability.



POSTED ON 23-08-2025 BY ADMIN
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