New Delhi, March 20 (IANS) The Ministry of Heavy Industries has issued a Request for Proposal (RFP) to select beneficiaries to set up integrated sintered NdFeB Rare Earth Permanent Magnet (REPM) manufacturing facilities under the Rs 7,280-crore scheme, it was announced on Friday.
The manufacturing facilities will have a total capacity of 6,000 Metric Tonnes Per Annum (MTPA) under the Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnet, according to the statement.
The scheme, approved by the Union Cabinet in November, 2025 with a financial outlay of Rs 7,280 crore, offers each selected beneficiary an allocation of 600–1,200 MTPA (in multiples of 100 MTPA).
Further, it provides a capital subsidy of Rs 750 crore plus sales‑linked incentives of Rs 6,450 crore, with limited assured supply of NdPr oxide from IREL (India) Ltd. for the three lowest bidders.
In this bidding process, prospective applicants can submit their bids to establish integrated sintered NdFeB REPM manufacturing facilities in India and can be eligible for availing capital subsidy as well as sales-linked incentives under the Scheme.
The bidding will be conducted online through a transparent Least Cost System (LCS) comprising two-stages (Technical Bid and Financial Bid) through Central Public Procurement (CPP) Portal, said the statement.
The tender documents are available from March 20, 2026. Pre-bid conference shall be held on April 7, 2026 and the bid due date is May 28, 2026 and the technical bids shall be opened on May 29, 2026, it added.
The first-of-its-kind scheme aims to establish a total capacity of 6,000 Metric Tonnes per Annum (MTPA) of integrated Rare Earth Permanent Magnet manufacturing facilities in India, thereby enhancing self-reliance and positioning India as a key player in the global REPM market, the statement noted.
Rare Earth Permanent Magnets are among the most powerful magnets in the world and are widely used in electric vehicles, wind turbines, high-end electronics, aerospace and defence systems.
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.
—IANS
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