Union Cabinet Approves ₹2,814 Crore Incentive Policy for Critical Minerals Processing

NEW DELHI: The Union Cabinet has officially approved an incentive policy valued at ₹2,814 crore, approximately equivalent to $297 million, directed toward the processing of critical minerals.

The policy decision was announced by Information Minister Ashwini Vaishnaw on Wednesday. The financial outlay of ₹2,814 crore is designed to support and enhance domestic processing capabilities for critical minerals, which are essential inputs for various industrial, manufacturing, and technology sectors.

Government incentives in the mining and minerals sector typically aim to strengthen local supply chains, reduce import dependence, and encourage domestic value addition. Further details regarding the implementation guidelines, eligibility criteria, and disbursement timelines for the ₹2,814 crore outlay are expected to be released as the policy rolls out.

As this is a developing story, further updates regarding the operational framework and industry impact of the critical minerals incentive policy will be provided as additional information becomes available.

"The approval of the ₹2,814 crore incentive policy for critical minerals processing is a significant step toward strengthening domestic supply chains and manufacturing capabilities in India. By focusing financial support on processing, the government is encouraging local value addition in a sector that is vital for advanced industries. For businesses and industrial enterprises operating in the manufacturing and technology space, this policy creates a more stable foundation for raw material access and long-term strategic planning." — Dr. Shishir Gupta, Founder & CEO, StartupLanes