Source: FE
Context: India has directed IREL (India) Ltd to suspend its 13-year-old rare earth supply agreement with Japan, aiming to prioritize domestic needs and reduce dependence on Chinese processing chains.
About IREL (India) Limited:
- What It Is?
- IREL (India) Limited is a Public Sector Undertaking (PSU) under the Department of Atomic Energy, engaged in mining, separation, processing, and extraction of rare earths and atomic minerals.
- Established In:
- Incorporated: 18 August 1950 (as Indian Rare Earths Limited)
- Became a full Government of India enterprise in 1963
- Headquarters: Mumbai, Maharashtra
- Ministry: Administrative control of the Department of Atomic Energy (DAE)
- Status & Recognition:
- Recognized as a profit-making CPSE (Central Public Sector Enterprise) since 1997–98
- Notified as a Mini Ratna Category-I PSU
- Core Objective: To explore, mine, process, and commercialize rare earths and strategic minerals essential for India’s energy, defence, electronics, and EV sectors.
- Key Functions & Roles:
- Mineral Separation Units: Operates major complexes like OSCOM (Odisha), Chavara (Kerala), and MK (Tamil Nadu)
- Rare Earth Extraction & Refining:
- Odisha unit produces ~11,000 tonnes of rare earth concentrate
- Aluva (Kerala) plant refines high-purity rare earth oxides
- Support to Indigenous Industry:
- Supplies minerals like Ilmenite, Zircon, Rutile, Sillimanite, Garnet
- Facilitating value-chain industries in Rare Earths and Titanium (e.g., Theme Park in Bhopal)
- Research & Development: In-house R&D division at Kollam, Kerala supports innovation in mineral and chemical processing.
- Exports & Trade:
- Exported ₹962 crore worth of minerals in FY 2023–24.
- Previously supplied neodymium and other critical materials to Japan for high-tech and EV industries.
