- India is planning Dedicated Rare Earth Corridors to build secure supply chains for critical minerals needed in EVs, renewable energy and high-tech manufacturing.
Rare Earth Availability in India
- REE Potential: India holds around 6% of the world’s rare earth reserves.
- Geographical Spread: Found mainly in coastal beach sands and inland alluvium across Andhra Pradesh, Odisha, Tamil Nadu, Kerala, West Bengal, Gujarat, Maharashtra and Jharkhand.
- Monazite Reserves: India holds around 13.15 million tonnes of monazite, containing nearly 7.23 million tonnes of Rare Earth Oxides (REO).
- Exploration Results: The Geological Survey of India has identified about 482.6 million tonnes of rare earth resources through systematic surveys.
About Rare Earth Permanent Magnets (REPMs)
- Nature: REPMs are the strongest permanent magnets available commercially, made from alloys of rare earth elements (REEs).
- Global Production: China controls about 90% of global production and processing of REPMs.
- Key Applications: They are essential for wind-turbine generators, electric vehicles (EVs), small electronic devices, and medical and defence systems like MRI units and precision-guided weapons.
About Dedicated Rare Earth Corridors
- Integrated Mineral Network: Specialised infrastructure corridors linking mining zones, processing units, and downstream manufacturing clusters to ensure uninterrupted mineral movement.
- Objective: Operationalise the National Critical Minerals Mission at the state level.
- Proposed Regions: Focused along the eastern and southern coastal belt covering Odisha, Andhra Pradesh, Tamil Nadu and Kerala, where major rare earth and beach sand mineral reserves exist.
Key Features of Dedicated Rare Earth Corridors
- Magnet Industry Linkage: Aligned with the ₹7,280 crore Sintered Rare Earth Permanent Magnet (REPM) Scheme targeting 6,000 MTPA domestic capacity.
- State-Centric Clusters: Encourage state-led industrial hubs instead of only centralised policy execution.
- Incentive Support: Offers ₹6,450 crore sales-linked incentives and ₹750 crore capital subsidy for integrated REPM manufacturing units.
Significance of Dedicated Rare Earth Corridors
- Import Dependence Risk: India currently imports nearly 85–90% (quantity-wise) & 60-80% (value-wise) of rare earth elements, leaving key sectors highly vulnerable to supply disruptions.
- EV Transition Needs: Each electric vehicle requires around 40–50 kg of critical minerals, while EV demand is expected to cross 10 million vehicles annually by 2030.
- Renewable Energy Push: Wind turbines and solar systems rely heavily on rare earth magnets, with India targeting 500 GW renewable capacity by 2030 and Net Zero by 2070.
- Strategic Manufacturing: Rare earths are vital for defence systems, semiconductors and electronics.
Application of Rare Earth Element
- Electronics: Due to their magnetic and phosphorescent properties, they are essential in smartphones, laptops, flat-panel displays, and headphones.
- Clean Energy: Powering high-performance magnets in wind turbines, electric vehicles (EVs), and solar panels is crucial for the renewable transition.
- Defence Sector: Used in precision-guided missiles, radar systems, sonar, and jet engines—key to strategic and technological superiority.
- Medical Technology: Enable advanced imaging tools in radiation-based cancer treatments, such as MRI and PET scanners.
- Industrial Use: Applied in petroleum refining, high-grade glass polishing, and production of strong, corrosion-resistant metal alloys.
Way Forward
- R&D Focus: Set up research centres to make better magnets and recycling methods. E.g., IREL’s Aluva unit can develop next-generation magnets.
- Private Investment: Allow private companies in mining and manufacturing; the ₹7,280 crore REPM scheme can attract big investments.
- Circular Practices: Recycle rare-earths from EV batteries and wind turbines to save resources; currently, India recycles only ~5% of rare-earths.
- Skill Development: Train engineers and technicians, and support local businesses around corridor hubs in Odisha, Kerala, and Tamil Nadu.
- Global Partnerships: Sign deals with countries like Australia, Argentina, Zambia, and join global forums to secure minerals and technology.
- Policy Support: Improve mining rules and align incentives to encourage production, exports, and sustainable practices.
Dedicated Rare Earth Corridors turn India’s “resource advantage into strategic strength” by securing supply chains for EVs, renewables and defence. Anchored in Atmanirbhar Bharat and Net Zero 2070, they ensure “the minerals of the future are sourced and shaped at home.”
Reference: PIB
PMF IAS Pathfinder for Mains – Question 535
Q. Dedicated Rare Earth Corridors are emerging as a new instrument of India’s critical mineral strategy. Discuss their geographical basis, identify the major corridor regions, and analyse their significance for industrial development and strategic autonomy (250 Words) (15 Marks)
Approach
- Introduction: Write a brief introduction about the Dedicated Rare Earth Corridors.
- Body: Write the geographical basis of rare earth corridors, identify the major corridor regions, and their significance for industrial development and strategic autonomy.
- Conclusion: Emphasis on complementary international partnerships and institutional reforms to ensure resilient access to critical minerals.
