On December 28, 2025, India ranked 3rd in Rare Earth reserves with 6.9 million tonnes (MT) of Rare Earth Oxide (REO) reserves, accounting for around 6 to 7% of global reserves, in a report released by Amicus Growth.
- China ranked first with 44 MT of ROE and Brazil (approximately 21 MT) secured second place.
Exam Hints:
- What? India ranked third in rare earth reserves
- India’s Reserve: 6.9 million tonnes
- India’s Production: 2,900 tonnes (7th)
- Other top 3: China (44 MT), Brazil (approximately 21 MT)
- Other Top 10: Australia, Russia, Vietnam, Malaysia, Thailand, USA, Burundi
- Top 3 Producers: China, USA, Myanmar
About Rare Earth Elements (REE):
Overview: Rare Earth Elements (REE) are a group of 17 metallic elements with unique magnetic, optical, and chemical properties and are high-grade, economically extractable deposits.
17 Metallic Elements: It includes Light Rare Earth Elements (LREEs) such as Lanthanum (La), Cerium (Ce), Praseodymium (Pr), Neodymium (Nd), Promethium (Pm), and Samarium (Sm).
- Heavy Rare Earth Elements (HREEs) Europium (Eu), Gadolium (Gd), Terbium (Tb), Dysprosium (Dy), Holmium (Ho), Erbium (Er), Thulium (Tm), Ytterbium (Yb), Lutetium (Lu), Yttrium (Y), and Scandium (Sc).
Highlights of the Report:
Other Top 10 countries: Australia ranked 4th with 5.7 MT, Russia (5th rank) (3.8 MT), Vietnam (6th rank) (3.5 MT), Malaysia (7th rank) (2 MT), Thailand (8th rank) (1.9 MT), United States of America (USA) (9th rank) (1.9 MT), and Burundi (1.5 MT).
REE Production: In 2024, India produced around 2,900 tonnes, which is less than 1% of global production, placing it 7th globally. China produced about 270,000 tonnes in 2024, securing first place.
- The USA produced 45,000 tonnes and secured second place, followed by Myanmar (31,000 tonnes) (3rd place), Nigeria (4th), Thailand (5th), and Australia (6th), each produced around 13,000 tonnes.
- Russia produced (8th), Madagascar (9th) around 2,500 tonnes, and Vietnam (10th) (300 tonnes).
Limitations for Production in India: Most of the Indian REEs occur in monazite-rich coastal sands that also contain thorium, a radioactive element. Mining and processing these sands are heavily regulated, slowing activity and discouraging private investment.
- It also includes limited processing or refining, old technology and infrastructure, and low private sector participation.
GOI’s Initiatives in Mining Industry:
NCMM: National Critical Mineral Mission, launched by the Government of India (GOI) in 2025 under the Ministry of Mines (MoM), with a budget of Rs.16,400 crores for a period of seven years from Financial Year 2024-25 (FY25) to Financial Year 2030-31 (FY31).
- NCMM aims to secure and strengthen the supply of critical minerals which are essential for modern technologies such as Electric Vehicles (EV), solar panels, electronics, defence systems, and clean energy industries.
About REPM: In November 2025, GOI approved the Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnets (REPM) for a period of seven years from Financial Year 2025-26 (FY 26) to Financial Year 2031-32 (FY 32), including 2 years for facility setup and 5 years for incentive payout on production and sales, aimed at building a strong domestic manufacturing ecosystem.
- The scheme includes financial outlay of Rs.7,280 crores, encompassing sales-linked incentives of Rs.6,450 crores and Capital subsidy of Rs.750 crores.
About the Ministry of Mines (MoM):
Union Minister – G Kishan Reddy (Constituency – Secunderabad, Telangana)
Minister of State (MoS) – Satish Chandra Dubey (Rajya Sabha – Bihar)
