The Ministry of Mines has issued guidelines for the ₹1,500 crore Critical Mineral Recycling Incentive Scheme, following Cabinet approval on 3rd September 2025. The scheme, a key component of the National Critical Mineral Mission, aims to enhance India’s recycling capacity for critical minerals from secondary sources such as e-waste, spent lithium-ion batteries, and other scrap materials.
The newly issued scheme guidelines provide detailed modalities including indicative outlays for recycling systems, methodology for incentive allocation, application and evaluation processes, disbursement procedures, institutional mechanisms, and performance review. The guidelines were finalised after extensive consultation with industry stakeholders.
The incentive scheme is designed to benefit both established large recyclers and small/new recyclers, including start-ups. It applies to investments in new units, as well as capacity expansion, modernisation, or diversification of existing units. The incentives will specifically target the recycling value chain involved in actual extraction of critical minerals, excluding activities limited to black mass production.
The application window is now open, effective 2nd October 2025 and will remain open for six months until 1st April 2026. Interested applicants can access the scheme guidelines and submit applications through the Ministry of Mines website.
Officials noted that the scheme is expected to significantly strengthen India’s critical mineral recycling ecosystem, support sustainable resource management, and attract investment across the recycling value chain. Analysts say this initiative will play a key role in reducing import dependence for critical minerals and enhancing domestic manufacturing competitiveness.