Self-Reliance in Minerals and Metals

The Standing Committee on Coal, Mines, and Steel (Chair: Mr Anurag Thakur) presented its report on ‘Self-Reliance in Minerals and Metals’ on December 17, 2025.  Key observations and recommendations of the Committee include:

Import dependence: The Committee observed that India has achieved self-sufficiency or near self-sufficiency in meeting demands for several major minerals such as bauxite, chromite, iron ore, limestone, and sillimanite.  However, the country remains dependent on imports for minerals such as magnesite, manganese, and rock phosphate, with domestic mineral demand expected to rise.  The Committee noted that critical minerals are geographically concentrated, with India being fully dependent on imports for lithium, cobalt, and nickel, and substantially reliant on imports for graphite, potash, and phosphorus.  It stressed the need for a coordinated national strategy involving government, industry, and research institutions to build resilient critical minerals supply systems and mitigate risks from global supply disruptions.

Processing and refining: The Committee highlighted that processing and refining are critical stages in the minerals value chain and observed that domestic capabilities in this area remain limited.  It emphasised the need to accelerate development of domestic processing and refining capacities and make them cost-competitive with imports.  It also suggested exploring international collaborations for technology transfer and strengthening mineral processing capabilities in the rare earth sector.

Regulatory delays: The Committee observed that lengthy regulatory clearances, forest clearance requirements at the exploration stage, and delays between mine auction and operationalisation have slowed mineral production.  It recommended examining the possibility of setting up an inter-ministerial group to monitor post-auction progress of mineral and critical mineral projects.  It also suggested considering incentives for early production and penalties for operationalisation delays.

Sustainability measures:  The Committee noted delays in finalisation of mine star ratings under the sustainable development framework and recommended expediting the pending assessments.  These ratings evaluate safety, environment, rehabilitation of project affected families, and welfare of workers.  It also recommended government to take initiatives to promote mineral recycling, through measures such as financial incentives.  The Committee recommended promoting recovery of minerals from e-waste, batteries, electric vehicles, and industrial scrap.  It further urged strengthening scrap collection systems and establishing environmentally compliant shredding facilities to reduce reliance on fresh mineral extraction and improve resource efficiency.

Enhancing public-private partnerships: The Committee noted that private sector accounts for 60% value of mineral production, with dominance in non-ferrous metals and industrial minerals.  Public sector companies play a crucial role in strategic minerals such as copper, gold, and phosphorite.  The Committee noted that there is scope for increasing collaboration through Public-Private Partnerships.