Reducing acute dependence, countering China’s near monopoly: India readies Rs 5,000 crore scheme for rare

India is poised to launch a substantial Rs 3,500-Rs 5,000 crore initiative aimed at bolstering domestic production of rare earth minerals, a strategic move to diminish its acute dependence on China. These minerals are critical components in various high-tech industries, including electronics, renewable energy, and defense. The ambitious scheme underscores India's determination to secure a stable supply chain and enhance its self-reliance in vital sectors. This initiative comes amid growing global concerns over China's near-monopoly on rare earth minerals, which currently dominates the market with over 80% of the world's supply. By investing in domestic capabilities, India seeks to not only safeguard its economic interests but also position itself as a competitive player in the global market. The government plans to incentivize local exploration and production, encouraging private sector participation to accelerate the development of this crucial industry. In addition to reducing dependence on China, the scheme aims to foster innovation and technological advancement within India. By supporting research and development in rare earth processing and applications, the initiative is expected to create new job opportunities and stimulate economic growth. Ultimately, this strategic investment reflects India's broader vision of achieving technological independence and strengthening its geopolitical standing in the rapidly evolving global landscape.

— Authored by Next24 Live