🌑Knowledge Drop – 43: Toward Strategic Autonomy: India’s First Integrated REPM Scheme | For Prelims: InDepth MCQs| For Mains, All G.S Papers: High Quality Essays
🧲 Knowledge Drop–43
Toward Strategic Autonomy: India’s First Integrated REPM Scheme
📅 28 November 2025
📚 Syllabus: GS2 (Governance) | GS3 (Science & Technology, Economy, Internal Security)
Context
🇮🇳⚙️
The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnets (REPMs) with a total financial outlay of ₹7,280 crore, marking a decisive step toward India’s strategic and technological self-reliance.
What are REPMs? Why Do They Matter? 🔬
🧲 Rare Earth Permanent Magnets such as Neodymium–Iron–Boron (NdFeB) and Samarium Cobalt (SmCo) are among the strongest permanent magnets globally.
They are indispensable for:
- 🚗 Electric Vehicles (traction motors)
- 🌬️ Wind turbines & renewable energy systems
- 📱 Electronics & smartphones
- 🛡️ Aerospace, defence & strategic systems
- 🚀 Advanced industrial automation
Key Features of the Scheme 🏗️
- Establishment of 6,000 MTPA integrated REPM manufacturing capacity in India
- Five beneficiaries, each eligible for up to 1,200 MTPA, selected via global competitive bidding
- Creation of fully integrated facilities, covering:
- Rare earth oxides → metals
- Metals → alloys
- Alloys → finished REPMs
- Duration: 7 years
- ⏳ 2 years gestation
- 💰 5 years incentive disbursement
Why Does India Need This Now? 🇮🇳🧭
1️⃣ Rising Domestic Demand
📈 India’s REPM demand is projected to double by 2030, driven by:
- EV transition
- Renewable energy expansion
- Defence modernisation
The EV mission alone may require 15,000–20,000 tonnes annually by 2047.
2️⃣ Import Vulnerability
🚢 India currently imports nearly 100% of its ~900 tonnes annual REPM requirement.
Global supply shocks (2021–22) caused 200–300% price spikes, exposing strategic risks.
3️⃣ Strategic Autonomy
🔐 REPMs are globally classified as Critical Materials.
Domestic capability aligns with:
- Atmanirbhar Bharat
- National Security Strategy
- Net Zero 2070
- Viksit Bharat @2047
India’s Untapped Mineral Strength 🌍
🪨 India possesses the 5th-largest rare earth reserves globally
(~6.9 million tonnes), mainly in:
- Andhra Pradesh
- Odisha
- Kerala
- Jharkhand
- Rajasthan
Yet, processing and value addition have remained underdeveloped.
Challenges Ahead ⚠️
- 🧪 Technological complexity: Ultra-high vacuum sintering, cryogenic milling
- 👨🔬 Skill gap: Shortage of trained metallurgists and REPM specialists
- 🐉 China’s dominance: Controls 85–90% of global REPM production
- 💸 High capital intensity: Advanced furnaces, purification & powder metallurgy lines
- 🌱 Environmental risks: Radioactive thorium & heavy-metal wastewater management
Steps Taken by India 🛠️
- National Critical Mineral Mission (2025)
- GSI tasked with 1,200 exploration projects (2024–31)
- Strengthening IREL & DAE capabilities
- Rare earth reduction, alloying & processing technologies
- Global partnerships
- MoUs with Australia, US, EU, Japan
- Membership in Minerals Security Partnership (2023)
- Demand-side push
- PLI schemes for EVs, solar, electronics, drones
- R&D ecosystem
- BARC, ARCI & IITs working on:
- High-performance magnets
- Recycling technologies
- Waste-free extraction methods
- BARC, ARCI & IITs working on:
Conclusion 🧭
✨ The REPM scheme is a transformational industrial intervention, shifting India from a raw-material holder to a strategic technology manufacturer.
By building an indigenous REPM ecosystem, India:
- Secures critical supply chains
- Strengthens defence preparedness
- Accelerates clean energy transition
- Reduces import dependence
- Advances toward Net Zero 2070 and Viksit Bharat @2047
🧲 From magnets to mobility, this scheme anchors India’s journey toward true strategic autonomy.
Target IAS-26: Daily MCQs :
📌 Prelims Practice MCQs
Topic: Toward Strategic Autonomy: India’s First Integrated REPM Scheme SET-1
MCQ 1 TYPE 1 — How Many Statements Are Correct?
Consider the following statements regarding Sintered Rare Earth Permanent Magnets (REPMs):
1)Neodymium–Iron–Boron (NdFeB) magnets are among the strongest permanent magnets used in electric vehicles and wind turbines.
2)India currently produces more than half of its domestic requirement of REPMs.
3)Rare Earth Permanent Magnets are classified globally as critical materials due to their strategic importance.
4)Price volatility in REPMs during 2021–22 exposed India’s import dependence.
How many of the above statements are correct?
A) Only one
B) Only two
C) Only three
D) All four
🌀 Didn’t get it? Click here (▸) for the Correct Answer & Explanation.
🟩 Correct Answer: C) Only three
Explanation:
1)✅ True – NdFeB magnets are critical for EVs and renewables.
2)❌ False – India imports nearly 100% of its REPM requirement.
3)✅ True – REPMs are globally categorised as critical materials.
4)✅ True – Global shortages caused sharp price spikes.
MCQ 2 TYPE 2 — Two-Statement Type
Consider the following statements:
1)The approved REPM scheme aims to create fully integrated facilities from rare earth oxides to finished magnets.
2)Under the scheme, all manufacturing capacity will be reserved exclusively for public sector enterprises.
Which of the above statements is/are correct?
A) Only 1 is correct
B) Only 2 is correct
C) Both are correct
D) Neither is correct
🌀 Didn’t get it? Click here (▸) for the Correct Answer & Explanation.
🟩 Correct Answer: A) Only 1 is correct
Explanation:
1)✅ True – The scheme promotes end-to-end integrated manufacturing.
2)❌ False – Capacity will be allocated through global competitive bidding, not limited to PSUs.
MCQ 3 TYPE 3 — Code-Based Statement Selection
With reference to India’s REPM ecosystem, consider the following statements:
1)China dominates global REPM production with a share exceeding 80%.
2)India possesses the world’s fifth-largest rare earth reserves.
3)REPM manufacturing involves powder metallurgy and high-temperature sintering technologies.
Which of the above statements are correct?
A) 1 and 2 only
B) 2 and 3 only
C) 1 and 3 only
D) 1, 2 and 3
🌀 Didn’t get it? Click here (▸) for the Correct Answer & Explanation.
Correct Answer: D) 1, 2 and 3
Explanation:
1)✅ True – China controls around 85–90% of global REPM production.
2)✅ True – India ranks fifth globally in rare earth reserves.
3)✅ True – Advanced powder metallurgy and sintering are core technologies.
MCQ 4 TYPE 4 — Direct Factual Question
Which of the following institutions is directly involved in advancing rare earth magnet research in India?
A) NITI Aayog
B) BARC
C) RBI
D) SEBI
🌀 Didn’t get it? Click here (▸) for the Correct Answer & Explanation.
🟩 Correct Answer: B) BARC
🧠 Explanation:
1) Explanation:
BARC, along with ARCI and IITs, is involved in high-performance magnet research and sustainable extraction technologies.
MCQ 5 | TYPE 5 — UPSC 2025 Linkage Reasoning Format (I, II, III) Consider the following statements:
Statement I:
Synchronising elections under the One Nation One Election proposal may affect the federal balance of the Indian Constitution.
Statement II:
Implementation of simultaneous elections may require curtailment or extension of State Legislative Assembly tenures.
Statement III:
The Constitution explicitly prohibits any alteration in the duration of State Assemblies under all circumstances.
Which one of the following is correct?
a) Both Statements II and III are correct and both explain Statement I
b) Both Statements II and III are correct but only one explains Statement I
c) Only one of the Statements II and III is correct and that explains Statement I
d) Neither Statement II nor Statement III is correct
🌀 Didn’t get it? Click here (▸) for the Correct Answer & Explanation.
🟩 Correct Answer: c)
🧠 Explanation:
Statement II is correct – Synchronisation may require adjusting State Assembly tenures, which can impact federal autonomy and thus explains Statement I.
Statement III is incorrect – The Constitution allows flexibility through the phrase “unless sooner dissolved” and does not impose an absolute prohibition.
