Pre-Bid Conference Held for Rs 7,280 Crore Rare Earth Manufacturing Initiative with 25 Firms Participating
Synopsis
A pre-bid conference in New Delhi saw over 25 companies engaging in the government's initiative to manufacture rare earth permanent magnets. This Rs 7,280 crore scheme aims to bolster domestic production and reduce import dependence.
Key Takeaways
The MHI organized a pre-bid conference for a Rs 7,280 crore scheme.
Over 25 companies participated, discussing the manufacturing of REPMs.
The bidding process will be conducted online under a transparent two-stage system.
Selection will be based on eligibility requirements and technical qualifications.
The initiative aims to bolster India's domestic manufacturing and reduce reliance on imports.
New Delhi, April 7 (NationPress) - The Ministry of Heavy Industries (MHI) conducted a pre-bid conference on Tuesday for interested bidders concerning the 'Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnets' (REPM), with participation from over 25 companies.
During this event, officials from the ministry provided comprehensive presentations covering the scheme's framework, essential RFP details, and the bidding process's procedural elements.
Participants had their questions answered, and were informed that the deadline for submitting inquiries via email is set for April 22, 2026.
The bidding will occur online in a transparent two-phase format utilizing the Least Cost Selection (LCS) method through the CPP Portal, with the final bid submission deadline established for May 28, 2026, as confirmed by the government.
Selection criteria will include meeting eligibility requirements, submitting a Detailed Project Report (DPR) in compliance with RFP guidelines, and choosing technically qualified bidders based on LCS.
A maximum of five firms will be chosen, each tasked with developing facilities capable of producing up to 1,200 MTPA, collectively achieving the target of 6,000 MTPA.
Earlier, the MHI released the Request for Proposal (RFP), inviting submissions for setting up integrated REPM manufacturing plants in India, aiming for a total capacity of 6,000 metric tonnes per annum (MTPA) and a financial backing of Rs 7,280 crore.
REPMs, recognized as some of the most powerful permanent magnets, are essential for various sectors, including electric vehicles, renewable energy, electronics, aerospace, and defense.
This initiative aims to establish integrated facilities that encompass the complete value chain from rare earth oxides to metals, alloys, and finished REPMs.
The MHI anticipates that this project will enhance domestic manufacturing capabilities, lessen reliance on imports, and foster a globally competitive REPM ecosystem within India.
In a previous parliamentary session, Union Minister Dr. Jitendra Singh mentioned that India possesses an estimated 8.52 million tonnes of rare earth oxide resources.
He also highlighted that the Atomic Minerals Directorate for Exploration and Research has identified 7.23 million tonnes of total rare earth oxide equivalent within monazite deposits distributed across states including Andhra Pradesh, Odisha, Tamil Nadu, Kerala, West Bengal, Jharkhand, Gujarat, and Maharashtra.
Moreover, an additional 1.29 million tonnes of rare earth assets have been located in hard rock regions in Gujarat and Rajasthan.
Point of View
The MHI's initiative to promote the manufacturing of rare earth permanent magnets is a strategic move towards enhancing India's self-reliance in critical technology sectors. This program not only aims to reduce import dependency but also to position India competitively on the global stage.
NationPress
2 Aug 2026
Frequently Asked Questions
What is the purpose of the pre-bid conference?
The pre-bid conference is organized to provide prospective bidders with essential information regarding the 'Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnets' and to address any queries they may have.
How many companies participated in the conference?
At least 25 companies attended the pre-bid conference.
What is the deadline for submitting bids?
The final bid submission deadline is set for May 28, 2026.
What are REPMs and why are they important?
REPMs, or Rare Earth Permanent Magnets, are highly powerful magnets crucial for various applications including electric vehicles, renewable energy, and defense.
What is the total capacity targeted by the scheme?
The scheme targets a total manufacturing capacity of 6,000 metric tonnes per annum (MTPA).
