Cabinet approves state incentives to boost recycling industry.
India is stepping up efforts to recover critical raw materials from electronic waste and used batteries. On Wednesday, the Cabinet approved measures to provide state support for companies in this sector, the Ministry of Mines announced. Firms can now receive government grants for constructing recycling facilities, purchasing necessary machinery, and covering operational costs. The government has allocated approximately $170 million, with one-third of the funds reserved explicitly for startups.
Under the program, which runs through spring 2031, New Delhi expects to recover around 40 kilotons of critical raw materials annually while creating up to 70,000 direct and indirect jobs. Investments exceeding $900 million are also anticipated.
As Asia’s third-largest economy, India relies heavily on imports of certain raw materials and specialized industrial components, many of which come from China, such as rare earth magnets. To strengthen domestic manufacturing, India is seeking international partnerships to enhance its capabilities. The country has also announced plans to develop a domestic ecosystem for recycling high-performance magnets, further reducing its dependency on imports (we reported).
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