Govt. Invites Bids for 6,000 MTPA Neo Magnet Manufacturing Facilities

The Ministry of Heavy Industries has released a Request for Proposal (RFP) for the selection of beneficiaries to set up integrated Sintered NdFeB* Rare Earth Permanent Magnet (REPM) manufacturing facilities in India. These facilities will have a combined capacity of 6,000 Metric Tonnes Per Annum (MTPA) and will be developed under the Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnets.

*NdFeB: neodymium, iron, and boron, also called Neo magnets

The last date to submit bids for this tender is 28th May 2026.

On 26th November 2025, the Union Cabinet approved a Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnets with a financial outlay of Rs. 7,280 crore. This is a first-of-its-kind initiative aimed at establishing the manufacturing of Rare Earth Permanent Magnets (REPM) in India and reducing dependence on foreign imports. Under this scheme, each beneficiary will be allocated a capacity ranging between 600 MTPA and 1,200 MTPA (in multiples of 100 MTPA).

Rare Earth Permanent Magnets are essential for various segments, including electric vehicles, renewable energy, electronics, aerospace, and defence applications.