Government Finalising RFP to Invite Bids Under Rare Earth Magnet Scheme: H D Kumaraswamy

The government is in the final stages of preparing the request for proposal (RFP) to invite bids under the Rare Earth Magnet Scheme, Union Minister H D Kumaraswamy said on Tuesday.

The proposed RFP is expected to pave the way for private sector participation in the manufacturing of rare earth magnets, a critical component for electric vehicles, renewable energy systems, and advanced electronics. The scheme aims to reduce import dependence and strengthen domestic capabilities in the value chain of strategic minerals.

According to the minister, the initiative aligns with the government’s broader push to build a resilient supply ecosystem for critical materials, especially in the context of global supply concentration and rising demand driven by clean energy transitions.

Once finalised, the bidding process is expected to attract both domestic and international players, boosting investment, technology transfer, and job creation in high-value manufacturing segments linked to rare earths.