20 Bids Received for ₹7,280 Crore Rare Earth Permanent Magnet Manufacturing Scheme Across India
The Ministry of Heavy Industries (MHI) has received 20 bids through a global tender floated on the CPP portal for the selection of manufacturers to establish integrated Sintered NdFeB Rare Earth Permanent Magnet (REPM) manufacturing facilities in India. Technical bids were opened on August 13, 2026, in the presence of bidders at MHI.
The bidding process falls under the "Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnet (REPM)," approved by the Union Cabinet on November 26, 2025, with a financial outlay of ₹7,280 crore. The scheme notification was issued on December 15, 2025, and the Request for Proposal was floated on March 20, 2026, followed by a pre-bid conference on April 7, 2026. The last date for receiving bids was August 12, 2026.
Bidders include Larsen & Toubro Limited, Coal India Limited, NEO Performance Materials (Singapore), Renew Private Limited, Attero Recycling, Proterial (India), and several other companies and joint ventures.
The scheme targets a total capacity of 6,000 Metric Tons Per Annum (MTPA) of integrated REPM manufacturing in India, to be allocated among five beneficiaries through global competitive bidding, with each beneficiary eligible for up to 1,200 MTPA of capacity. The scheme runs for seven years from the date of award, comprising a two-year gestation period for setting up manufacturing facilities and five years of incentive disbursement linked to REPM sales.
Rare earth permanent magnets are used in electric vehicles, wind turbines, high-end electronics, aerospace and defence systems. The scheme aims to build a complete domestic value chain from NdPr oxide to finished magnets, reducing import dependence in the sector.