The Critical Minerals Mission:
Securing India's High-Tech and Green Future
In early 2026, the National Critical Minerals Mission has emerged as a cornerstone of India’s strategy for energy transition and high-tech manufacturing. Formally operationalized through the Ministry of Mines, the mission is designed to ensure a secure and resilient supply chain for 30 minerals identified as "critical" for the Indian economy. These minerals, including Lithium, Cobalt, Graphite, and Rare Earth Elements (REEs), are essential for the production of electric vehicle (EV) batteries, semiconductor chips, and renewable energy infrastructure.
Domestic Exploration and Policy Reform
The mission’s domestic strategy is anchored in the Mines and Minerals (Development and Regulation) Amendment Act, which empowers the central government to auction mineral blocks directly for critical minerals. In the 2026-27 fiscal year, the government has launched the first "Special Auction Window" for 20 lithium and REE blocks across Jammu & Kashmir, Chhattisgarh, and Rajasthan. This domestic push is complemented by the National Mineral Exploration Trust (NMET), which provides enhanced funding for deep-seated mineral exploration.
Bilateral and Global Alliances
Recognizing the limited domestic reserves of certain minerals, India has aggressively pursued international partnerships through Khanij Bidesh India Limited (KABIL). A landmark bilateral deal with Argentina has granted KABIL exploration and development rights for five lithium brine blocks in Catamarca province. Similarly, the India-Australia Critical Minerals Investment Partnership has matured, with India committing over $100 million for joint exploration of cobalt and lithium projects in Australia. On the global stage, India’s membership in the Minerals Security Partnership (MSP) has provided a seat at the table with 13 other nations to de-risk global critical mineral supply chains.
Securing the Green Economy
KABIL Secures First Lithium Blocks in Argentina
The National Critical Minerals Mission is trending in early February 2026 following the announcement by KABIL that physical exploration has commenced at the newly acquired lithium blocks in Argentina. This news is particularly significant for the 2026-27 Union Budget, which has allocated an enhanced outlay for "Rare Earth Strategy and Manufacturing Corridors".
Official PIB summaries indicate that the Ministry of Mines is finalizing the "Sovereign Mineral Fund" to support further overseas acquisitions. This development is a key case study for UPSC GS-III (Economy and Environment), as it highlights India’s move toward "Mineral Sovereignty" and the reduction of import dependency for the EV sector. The topic is also in the news due to the upcoming India-Australia Energy Dialogue, where rare earth processing technology will be a top priority.
The Road to Strategic Mineral Independence
The 2023 Identification Milestone
The background of India’s current mission lies in the 2023 report by the Ministry of Mines, which identified **30 critical minerals** for the country for the first time. This identification was a reactive measure to global supply chain disruptions caused by geopolitical tensions and the rapid acceleration of the EV industry. Prior to this, India’s mineral policy focused primarily on bulk minerals like coal and iron ore, with critical minerals remaining largely unmonitored.
The Creation of KABIL (2019)
The historical shift toward international acquisitions began in 2019 with the formation of Khanij Bidesh India Limited (KABIL)—a joint venture between three PSUs: NALCO, HCL, and MECL. KABIL was tasked with the identification, acquisition, and development of overseas mineral assets. The 2026 landscape is the culmination of this institutional build-up, where KABIL has moved from "negotiation" to "physical development". This evolution reflects a broader shift in Indian foreign policy toward "Resource Diplomacy," where economic security is increasingly linked to the control of high-tech raw materials.
