Andhra Pradesh’s Rare Earth Corridor: A Strategic Asset for India’s Clean Energy Future

Andhra Pradesh’s coastline contains one of India’s largest unexploited sources of rare earth elements (REEs), primarily found in monazite-rich beach sands.  

As India focuses on clean mobility and tech independence, this mineral corridor now receives strategic attention from both the central and state governments. 

Andhra’s Mineral Belt and Rare Earth Composition 

Running from Srikakulam to Nellore, Andhra’s 974km coastline holds heavy mineral sands rich in monazite, ilmenite, rutile, zircon and garnet.  

Monazite here contains 55-60% rare earth oxides and 8-10% thorium — elements critical for electric vehicles, wind turbines and defence applications. Locations such as Kakinada, Machilipatnam and Ramayapatnam form a contiguous mineral corridor. 

State-Led Mining and Processing Initiatives 

The Andhra Pradesh Mineral Development Corporation (APMDC) has received mining leases for 16,000 hectares, with operational clearance for 1,000 hectares already granted to a private player.  

The state seeks to unlock an additional 4,000 hectares shortly. Emphasis is being placed on value addition through local downstream processing instead of exporting raw ore. 

Read More: Indian Government Revealed Details of ₹7,280 Crore Rare Earth Magnets Scheme! 

Central Schemes to Boost Rare Earth Recovery 

The Centre’s National Critical Mineral Mission (NCMM) has introduced a ₹100 crore scheme under the NMEDT to fund pilot recovery projects of critical minerals.  

These include recovering REEs from red mud, fly ash, and tailings. Projects may receive up to 90% central funding and involve academic and industry collaborations. 

Infrastructure and Reprocessing Potential 

Facilities such as IREL’s plant in Visakhapatnam and a private REE unit in Anantapur are operational. IREL is also setting up a 10,000-tonne-per-annum plant at Gudur by 2026. 

Reprocessing of existing tailings may yield a ₹5,000 crore opportunity annually, as per state estimates, further reducing dependency on REE imports by converting waste into usable resources. 

Conclusion 

Andhra Pradesh’s coastal mineral reserves offer significant scope for rare earth extraction. With government-backed mining, processing initiatives, and central policy support, the region may play a central role in India’s clean energy and strategic minerals strategy. 

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