Poor Response Forces Extension of Last Date for Rare Earth Supply Global Tender

Ø  MHI Extends Bid Submission Timeline for Global Tender under Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnet (REPM scheme)

1.    Timeline Extended: The Ministry of Heavy Industries (MHI) has extended the timelines for the global tender under the Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnets (REPM Scheme).

2.    Reason for Extension: The extension was granted in response to requests from multiple stakeholders, allowing greater participation in the bidding process.

3.    Revised Bid Due Date:

o    Earlier: 29 June 2026

o    Revised: 29 July 2026

4.    Technical Bid Opening Rescheduled:

o    Earlier: 30 June 2026

o    Revised: 30 July 2026

5.    Addendum Issued: The revised schedule has been notified through an Addendum published on the Central Public Procurement (CPP) Portal for the information of all stakeholders.

6.    Tender Invitation: The Ministry had originally invited the global tender on 20 March 2026 to select manufacturers as beneficiaries under the REPM Scheme.

7.    Objective of the Tender: The selected manufacturers will establish integrated Rare Earth Permanent Magnet (REPM) manufacturing facilities in India.

8.    Cabinet Approval: The REPM Scheme was approved by the Union Cabinet, chaired by Narendra Modi, on 26 November 2025.

9.    Financial Outlay: The scheme has a total financial allocation of ₹7,280 crore.

10.  Manufacturing Target: The scheme aims to establish a cumulative manufacturing capacity of 6,000 Metric Tons Per Annum (MTPA) of integrated Rare Earth Permanent Magnets in India.

11.  Strategic Importance of REPMs: Rare Earth Permanent Magnets are among the world's strongest magnets and are widely used in:

·         Electric Vehicles (EVs)

·         Wind turbines

·         High-end electronics

·         Aerospace

·         Defence systems

12.  Building a Complete Value Chain: The scheme seeks to establish an end-to-end domestic manufacturing ecosystem, covering the entire value chain from Neodymium-Praseodymium (NdPr) oxide to finished permanent magnets.

13.  Expected Benefits:

·         Reduce India's dependence on imports.

·         Strengthen self-reliance in critical mineral-based manufacturing.

·         Develop indigenous advanced manufacturing capabilities.

·         Position India as a significant global player in the Rare Earth Permanent Magnet industry.

Key Facts for Exams

·         Ministry: Ministry of Heavy Industries (MHI)

·         Scheme: Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnets (REPM Scheme)

·         Tender Invited On: 20 March 2026

·         Bid Due Date (Revised): 29 July 2026

·         Technical Bid Opening (Revised): 30 July 2026

·         Cabinet Approval: 26 November 2025

·         Cabinet Chair: Narendra Modi

·         Financial Outlay: ₹7,280 crore

·         Target Manufacturing Capacity: 6,000 MTPA

·         Key Raw Material: NdPr (Neodymium–Praseodymium) oxide

·         Major Applications: Electric vehicles, wind turbines, electronics, aerospace, defence

·         Primary Objective: Build a complete domestic REPM value chain and reduce import dependence.

 

[ABS News Service/26.06.2026]

The Ministry of Heavy Industries (MHI), Government of India, has extended timelines for global tender under REPM scheme as a response to demand for same by multiple stakeholders. The Bid Due Date has been extended from 29.06.2026 to 29.07.2026, while the opening of Technical Bids has been rescheduled from 30.06.2026 to 30.07.2026 to facilitate wider participation and provide additional time for stakeholders in bidding process. The Addendum has been published on the Central Public Procurement (CPP) Portal for information of all stakeholders. (https://eprocure.gov.in/eprocure/app).

The global tender was invited by the Ministry on 20th March 2026 for selection of manufacturers as beneficiaries under REPM scheme to establish integrated rare earth permanent magnet manufacturing facilities in India.

On 26th November 2025, the Union Cabinet chaired by Prime Minister Shri Narendra Modi approved the Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnet with a financial outlay of Rs. 7,280 Crore. The Scheme, a first-of-its-kind initiative, aims to establish a total capacity of 6,000 Metric Tons 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.

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.