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Rajya Sabha Passes Mines and Minerals Amendment Bill, Govt Backs ₹34,000 Cr Critical Minerals Push

Rajya Sabha approves Mines Bill, bolstering India’s critical minerals production and supply amid global resource race

Critical minerals development
Summary
  • Rajya Sabha passes Mines and Minerals Amendment Bill, allowing mining leaseholders to add rare minerals without extra royalty.

  • Government launches ₹34,000 crore National Critical Mineral Mission to boost domestic production and secure minerals abroad.

  • Opposition walks out demanding discussion on Bihar electoral roll revision, unrelated to the Mines Bill debate.

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The Rajya Sabha cleared the Mines and Minerals (Development and Regulation) Amendment Bill on Tuesday (August 19, 2025), even as the Opposition members walked out over their demand for a discussion on the revision of electoral rolls in Bihar.

The bill, which the Lok Sabha had passed on August 12, aims to push the development of market, including trading, of minerals and their forms through mineral exchanges. It empowers mining leaseholders to add rare minerals such as lithium, cobalt and nickel to their existing operations without paying additional royalty, reported The Hindu.

The Bill amends the original Act of 1957.

Mining Sector Reforms Advance

According to The Hindu, Union Minister of Coal and Mines G Kishan Reddy said that the Narendra Modi government brought “revolutionary reforms” in the mining sector by introducing transparency and accountability that boosted production of coal and minerals.

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Replying to the debate, Reddy said the Centre has identified 24 critical and strategic minerals, and launched the National Critical Mineral Mission with an outlay of ₹34,000 crore to increase domestic production, including from offshore areas.

“India is a big market. From cellphones to airplanes, laptops to space technology, and even in the agriculture sector, critical minerals are required. There is a huge demand. Our challenge is to increase production,” Reddy stated.

“Rajya Sabha has passed the Mines & Minerals (Development & Regulation) Amendment Bill, 2025. This marks another step in the @narendramodi Govt’s continuous efforts to reform the mining sector giving impetus to exploration, production & supply of critical minerals to make India Atmanirbhar,” Union Minister of Mines G Kishan Reddy wrote on X.

“Under the National Critical Mineral Mission, the Govt. is set to invest around ₹32,000 crore to strengthen the supply chain of Critical Minerals. Not only within the country, but we are also securing and acquiring mineral assets abroad in nations such as Zambia, Argentina, and Australia,” he added.

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According to Reddy, India’s public sector company KABIL has begun exploration in five blocks in Argentina and production on lithium will start from next year.

The National Mineral Exploration Trust will now be known as the National Mineral Exploration and Development Trust, he said. The Minister said that during the UPA regime, the sector was plagued by corruption and this Bill will help the industry to grow further.

Earlier, soon after the House met at 2 p.m., Vice-Chairman Ghanashyam Tiwari invited Reddy to move the Bill. But Leader of Opposition Mallikarjun Kharge demanded a discussion on the Special Intensive Revision of voters’ lists in Bihar. Mr. Tiwari said the matter has nothing to do with the Bill following which the Opposition staged a walkout.

As nations plan to secure critical mineral supplies amid shifting global supply chains, India has moved to strengthen its own resource base. The Rajya Sabha’s passage of the amended mining bill underscores this intent.

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