Rare Earth Minerals: Large Deposits Found In This State, Mining Auction To Begin Soon
India may soon strike it rich as new findings in Rajasthan could unlock rare earth elements, helping the nation rival China in global mineral dominance
The global demand for rare earth elements (REEs) is accelerating due to their vital role in cutting-edge technologies. The 17 rare elements – lanthanum (La), cerium (Ce), praseodymium (Pr), neodymium (Nd), promethium (Pm), samarium (Sm), europium (Eu), gadolinium (Gd), terbium (Tb), dysprosium (Dy), holmium (Ho), erbium (Er), thulium (Tm), ytterbium (Yb), lutetium (Lu) and scandium (Sc) and yttrium (Y) – are essential for manufacturing smartphones, electric vehicles, defence systems, and renewable energy equipment.
At present, China dominates the global REE market, accounting for 90% of production and processing. However, India is now preparing to challenge this monopoly, with significant discoveries in the Balotra district of Rajasthan, particularly in Bhati Khera, Siwana tehsil.
Surveys carried out by the Geological Survey of India (GSI) and the Atomic Minerals Directorate (AMD) have uncovered large deposits of rare earth minerals in the region. These findings could help India become self-reliant and play a key role in the global supply chain.
Several locations across Balotra and Jalore districts have been surveyed, with Bhati Khera's exploration nearing completion. The mining auction in the area, valued at approximately Rs 10 crore, is expected to begin soon, with participation from private firms and government agencies.
Environmental clearance is expected to be smooth, as Bhati Khera does not fall within any wildlife sanctuary or environmentally sensitive zone. The area is rich in bastnasite, britholite, and xenotime, minerals typically found in carbonatite and microgranite rocks, key sources of rare earth elements.
A Global Strategic Resource
Rare earth minerals are indispensable for producing permanent magnets, which are used in high-demand items such as smartphones, computers, electric vehicles, lasers, and missile guidance systems.
Despite possessing the world's third-largest REE reserves (6.9 million tonnes), India contributes less than 1% to global production; just 2,900 tonnes per year. This is largely due to outdated processing technologies, a shortage of technical expertise, and underdeveloped mining infrastructure.
National Critical Mineral Mission To The Fore
To change this, the central government launched the National Critical Mineral Mission (NCMM) in 2025. The initiative aims to advance the exploration, mining, and processing of critical minerals.
GSI has been assigned 1,200 exploration projects between 2024 – 25 and 2030 – 31, with Bhati Khera considered a strategic cornerstone.
Boosting Domestic Production
To complement the mission, the government has introduced a Rs 1,000 crore Production-Linked Incentive (PLI) scheme for boosting the domestic manufacture of rare earth magnets. With policy support and recent discoveries, India now has a real opportunity to reduce reliance on China and become a global player in this strategic sector.
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First Published:
July 16, 2025, 15:06 IST
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