The Centre has selected Odisha, Gujarat, Maharashtra and Andhra Pradesh to set up 4 critical mineral value processing parks, as per the PTI report.
The decision follows discussions with state officials, including a review meeting held on April 22. These locations were picked mainly for their port connectivity, which is expected to support the movement of minerals and finished materials.
The project will be funded through the National Critical Mineral Mission, with an allocation of ₹500 crore. The plan focuses on building processing and refining capacity within the country.
At present, a large share of mineral-related activity is limited to sourcing, with limited downstream infrastructure.
At a recent industry seminar, Mines Secretary V. L. Kantha Rao said the absence of processing facilities affects the use of critical minerals. He noted that even when minerals are sourced domestically or imported, they are often sent abroad for processing due to a lack of local capacity.
He added that without a complete value chain, industries face constraints in using these materials. Processing is required before minerals can be used in most industrial applications.
Critical minerals are used in sectors such as electronics, clean energy and manufacturing. Demand has been rising in recent years, driven by growth in these industries.
Reports indicated that expanding processing capacity could help address the gap between supply of raw materials and industrial use.
The ministry has held meetings with primary and secondary aluminium producers. Industry participants have raised operational concerns and shared inputs on supply chains and processing requirements.
Reports also suggest that the progress is likely within the current year, with initial work expected by year-end.
The parks are intended to support domestic processing and reduce dependence on external facilities for refining critical minerals.
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The identified locations are intended to address gaps in mineral processing infrastructure. Work on the parks is expected to advance in the current year.
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Published on: Apr 29, 2026, 3:42 PM IST
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