The Ministry in a statement said that this extension was due to “a response to demand for same by multiple stakeholders”.
There seems a mere interest from the global Rare Earth Permanent Magnet (REPM) manufacturers as the Ministry of Heavy Industries (MHI) on Thursday extended another timeline for global tender under the ₹7,280 crore REPM scheme.The Ministry in a statement said that this extension was due to “a response to demand for same by multiple stakeholders”. This is the second such extension with the first extension being moved from May 28, 2026 to June 29, 2026.The global tender was invited by the Ministry on March 20, 2026 for selection of manufacturers as beneficiaries under REPM scheme to establish integrated REPM manufacturing facilities in India, and even identified some of the coastal regions of the country.REPMs are one of the most powerful commercially available magnets made from alloys that include rare earth elements, primarily Neodymium (Nd), Praseodymium (Pr) and Samarium (Sm), and these are majorly used in electric vehicles, wind turbines, high-end electronics, aerospace and defence systems.Currently, China dominates about 90 per cent of global production of rare-earth magnet, and it temporarily restricted the exports to India in early 2025, and after complaints of vehicle makers from India, the Centre decided to launch the scheme so that it can be manufactured domestically and even export at a later stage.Some of the prospective companies include Bosch India, Mishra Dhatu Nigam Ltd, Global Tech & Material, Tata AutoComp Systems, and Mahindra Group.Coastal regionsAccording to government, India has one of the world’s largest rare earth reserves mostly located in coastal regions. IREL (India), under the Department of Atomic Energy is the only company in India that is engaged in the mining of rare earth ores and refining these into rare earth oxides (REOs).By building a complete value chain from NdPr oxide to finished magnets in India, the Scheme is expected to significantly reduce import dependence in this sector, the Centre has opined.“The bid due date has been extended from June 29, 2026 to July 29, 2026, while the opening of technical bids has been rescheduled from June 30, 2026 to July 30, 2026 to facilitate wider participation and provide additional time for stakeholders in bidding process,” the MHI said.On November 26, 2025 the Cabinet chaired by Prime Minister Narendra Modi had approved the Scheme with a financial outlay of ₹7,280 crore, comprising a ₹750-crore capital subsidy and ₹6,450 crore in sales-linked incentives over five years. Eligible manufacturers can claim incentives of up to 40 per cent of eligible net sales.The Scheme, a first-of-its-kind initiative, aims to establish a total capacity of 6,000 Metric Tons Per Annum (MTPA) of integrated REPM manufacturing facilities in India, thereby enhancing self-reliance and positioning India as a key player in the global REPM market.Published on June 25, 2026
