Question 1

India is now highly self-sufficient in lithium because of the recent discoveries in Jammu & Kashmir.

Accepted Answer

The J&K reserves are 'inferred' resources (G3 stage) and are not yet commercially viable for extraction. India remains deeply import-dependent for lithium.

Question 2

The NCMM applies to all 30 critical minerals identified by the 2022 expert committee.

Accepted Answer

The mission and related MMDR amendments specifically target 24 critical and strategic minerals listed in Part D of Schedule I of the MMDR Act for specialized centralized auction and development.

Question 3

Consider the following statements regarding the National Critical Mineral Mission (NCMM) approved in 2025:
1. It aims to completely eliminate the import of critical minerals by 2030 by restricting foreign trade.
2. It includes a specific Rs. 1,500 crore financial incentive scheme for the recycling of critical minerals from end-of-life products.
3. The mission funds will be exclusively utilized by Khanij Bidesh India Ltd (KABIL) to acquire domestic mining blocks.
How many of the above statements are correct?

Accepted Answer

(a) Only one — Statement 1 is incorrect because the mission focuses on reducing import dependence and diversifying sources, not completely eliminating imports via restrictions. Statement 2 is correct as the NCMM includes a dedicated incentive scheme for critical mineral recycling. Statement 3 is incorrect because KABIL is meant for acquiring OVERSEAS assets, not domestic ones, and the mission funds multiple agencies (like GSI) and private entities, not exclusively KABIL.

Question 4

Match the following institutions/entities with their specific role under the National Critical Mineral Mission (NCMM) and recent critical mineral policies:
List I:
A. Khanij Bidesh India Ltd (KABIL)
B. National Mineral Exploration Trust (NMET)
C. Geological Survey of India (GSI)
D. Empowered Committee on Critical Minerals

List II:
1. Carrying out targeted domestic exploration projects
2. Providing funds for risk coverage and overseas mineral sourcing
3. Coordinating the overall governance and activities of the mission
4. A joint venture acquiring strategic mineral assets overseas

Select the correct code:

Accepted Answer

(a) A-4, B-2, C-1, D-3 — KABIL (A) is a JV of PSUs formed specifically to acquire overseas mineral assets (4). NMET (B) provides funding, including Rs. 8,700 crore allocated under NCMM for securing supplies and risk coverage (2). GSI (C) is the primary agency allocated Rs. 4,000 crore for domestic exploration (1). The Empowered Committee on Critical Minerals (D) coordinates the overarching governance of the NCMM (3).

Question 5

Assertion (A): The Central Government amended the MMDR Act in 2023 to empower itself to auction blocks for 24 specific critical and strategic minerals.
Reason (R): State governments in India lack the constitutional authority to auction any type of mineral block within their territorial jurisdiction.
Select the correct answer:

Accepted Answer

(c) A is true but R is false. — Assertion (A) is true; the MMDR Amendment Act 2023 inserted Part D in Schedule I for 24 critical minerals and empowered the Centre to auction them. Reason (R) is false; State governments do have the authority to auction blocks for most conventional minerals (like iron ore, bauxite, limestone) under the standard MMDR framework. The amendment carved out a specific exception for these 24 strategic minerals to ensure national security.

Cabinet Approves National Critical Mineral Mission

Presidential Reference on Governor's Assent