Critical minerals are moving from a resource issue to a manufacturing priority as India plans four processing parks across Gujarat, Maharashtra, Andhra Pradesh and Odisha.
The government wants these parks to accelerate value addition for battery materials, starting with lithium and nickel.
Each park will build an element-specific ecosystem that combines processing with downstream industries in one location.
The plan forms part of the National Critical Mineral Mission, which carries a seven-year outlay of Rs 34,300 crore.
As batteries, electric vehicles, power networks and clean-energy technologies drive demand, India is targeting the processing gap that can determine the value its ecosystem captures.
India’s critical minerals strategy now targets the processing stage that sits between mineral extraction and finished industrial products. The government plans four dedicated parks to concentrate processing and downstream capabilities around individual elements.
Mines Secretary Keshav Chandra said the parks will follow an element-specific model rather than handle all critical minerals together. The government will initially fast-track lithium and nickel because of their importance to the battery sector.
The strategy aims to keep processing and downstream industries together. This structure can help companies build a more integrated value chain and capture more value within India instead of relying heavily on external processing capacity.
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The first two critical minerals in focus directly connect with India’s battery and electric-mobility ambitions. Nickel plays an important role in battery technologies, while lithium remains a core battery material.
The government plans to create dedicated ecosystems for each element. One park could concentrate the lithium value chain, while another could specialize in nickel. This approach allows processing industries and downstream manufacturers to develop alongside each other.
The government has selected Gujarat, Maharashtra, Andhra Pradesh and Odisha for the four parks. Officials previously cited port access as an important factor in selecting the states because mineral supply chains depend heavily on efficient movement of raw materials and processed products.
The Odisha Park will come up within the Petroleum, Chemicals and Petrochemicals Investment Region at Paradip. Authorities have not yet announced corresponding site details for the other three states.
State governments will lead planning and implementation, while the Centre will provide technical support. The Centre has already approached state governments seeking cooperation on the initiative.
The processing parks form part of the National Critical Mineral Mission, which carries a total outlay of Rs 34,300 crore over seven years. The government has earmarked Rs 16,300 crore, while public sector enterprises are expected to contribute another Rs 18,000 crore.
The mission covers exploration within India and offshore areas while supporting a broader push for domestic supply security. Critical minerals such as copper, lithium, nickel, cobalt and rare earths support applications ranging from electric vehicles and batteries to wind turbines and electricity networks.
India’s critical-mineral challenge does not end with discovering or securing mineral resources. Processing determines whether the country can convert raw materials into inputs required by high-value industries.
The approach also creates a platform for future expansion into other critical minerals after lithium and nickel. The government has indicated that downstream processing for additional minerals will follow.
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