The pre-bid conference organised by the Ministry of Heavy Industries (MHI) for the Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnet received participation from at least 25 companies. It was held on the seventh April 2026 at the India Habitat Centre in New Delhi. MHI had issued a Request for Proposal (RFP) on 20 March 2026 inviting bids to establish integrated Rare Earth Permanent Magnet (REPM) manufacturing facilities with a total capacity of 6,000 metric tonnes per annum (MTPA) and a scheme outlay of Rs 72.8 billion (Rs 72.8 bn). Tender documents are available on the CPP portal and the bid due date is 28 May 2026.

A detailed presentation outlined the scheme contours, major provisions of the RFP and procedural aspects of the bidding process and participants raised queries that were addressed. Bidders were informed that the last date to submit queries by e-mail is 22 April 2026 and that the bidding will be conducted online through a transparent two stage process comprising a technical bid and a financial bid under the Least Cost System (LCS) on the CPP portal. The government will select a maximum of five entities through the process, with each able to set up facilities of up to 1,200 MTPA, aggregating to a maximum capacity of 6,000 MTPA.

Key features of selection include fulfilment of eligibility criteria, submission of a Detailed Project Report (DPR) as per the RFP format and LCS based selection for technically qualified bidders. The scheme envisages the creation of integrated REPM manufacturing facilities involving conversion of rare earth oxides to metals, metals to alloys and alloys to finished REPMs. REPMs are among the strongest permanent magnets and are vital for electric vehicles, renewable energy, electronics, aerospace and defence applications.

Officials said the scheme is expected to strengthen domestic manufacturing capabilities, reduce import dependence and support development of a globally competitive REPM ecosystem in India. The ministry indicated that the transparent online process and the provision of detailed guidelines aim to encourage industry participation and timely implementation of the projects.