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India targets rare‑earth permanent magnet production by year‑end, minister says
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By Sethuraman N R Feb 19 (Reuters) - India aims to start producing rare earth permanent magnets by the end of the year in partnership with the private sector, the federal mining minister said on Thursday, as the Asian country seeks to lower imports of critical industrial inputs. New Delhi approved a 73 billion rupee ($802 million) rare earth permanent magnets manufacturing programme in November. The magnets are used in industries ranging from electric vehicles and aerospace to defence and renewable energy. The mining ministry and a state-run body have developed the technology to produce permanent magnets with plans to set up four critical mineral processing plants across as many states, minister Kishan Reddy said at an event organised by Federation of Indian Chambers of Commerce & Industry. India has the world's third-largest reserves of rare earths at 6.9 million tons, as per the U.S. Geological Survey, but only mines a fraction because private companies make limited investments. The country's consumption of rare earth permanent magnets is expected to double by 2030, but the country meets its demand primarily through imports. China, which controls 90% of the processing of such magnets, restricted shipments last year, sending automobile companies scrambling for supplies. ($1 = 91.0240 Indian rupees) (Reporting by Sethuraman N R in New Delhi; Editing by Mrigank Dhaniwala)