Recovering neodymium and other rare earths from scrap magnets, hard drives, motors and factory swarf - the fastest way to add feedstock without a new mine.
Recyclers collect magnet scrap, crush it (often with hydrogen) and either re-make it into magnet powder or chemically recover rare-earth oxides to sell back up the chain.
Recycling can start far sooner than new mines. A separate ₹1,500 Cr critical-mineral recycling scheme (approved 3 Sep 2025, FY26-FY31) gives a 20% capex subsidy plus opex support, and two leading recyclers - Attero and Lohum Magnets & Energy Solutions - also bid for the magnet scheme.
Small today: India generates limited magnet scrap, so volumes depend on collection of e-waste and end-of-life motors. Attero planned to lift rare-earth recycling capacity from 300 to 30,000 tonnes of feed a year (announced June 2025).