Page 23 - Policy Economic Report - October 2025

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

Indian manufacturers account for about 12 per cent of the global nacelle manufacturing capacity,
contributing roughly 20GW out of a global total exceeding 165GW. In blade manufacturing, India
holds a 10 per cent share, with a capacity of around 16GW from a global base of more than 157GW.
For towers, Indian firms contribute 13 per cent, amounting to about 15GW of the global capacity
exceeding 115GW. The country’s strongest presence is in gearboxes, where it commands 17 per
cent of global capacity, equivalent to 29GW out of more than 170GW worldwide, according to
GWEC data.

India aims for 500GW of non-fossil energy capacity by 2030, including 100GW from wind (30GW
offshore). Coupled with expanding manufacturing and localization, the country is set to meet
domestic and export demand while strengthening its role in the global clean energy transition.

7. India to launch a National Critical Mineral Stockpile (NCMS)

India is launching a National Critical Mineral Stockpile (NCMS) to secure a strategic reserve of rare
earth elements (REEs) and other critical minerals, driven by concerns over global supply chain
disruptions, particularly from China's export restrictions.

This initiative aims to ensure the availability of minerals essential for technologies like electric
vehicles, wind turbines, and defense, and includes efforts to boost domestic production through
private sector involvement. The government is creating a two-month stockpile for REEs and
allocating funds to encourage the domestic production of rare earth magnets.

Under the National Critical Minerals Mission, the government has earmarked Rs. 500 crore to guard
against supply disruptions and ensure mineral availability for domestic use.

Details of the National Critical Mineral Stockpile

? Purpose: To ensure a steady supply of rare earth elements critical for various technologies and
to enhance national security.

? Strategic Importance: The stockpile is a response to China's tightening export controls on rare
earth magnets, which have disrupted global supply chains.

? Stockpile Size: The goal is to create an initial stockpile equivalent to two months of supply.

? Domestic Production: The initiative complements other government programs to increase
India's domestic production capacity for rare earth magnets and other minerals.

? Private Sector Involvement: The government plans to work with the private sector to build and
maintain the stockpile and to expand domestic manufacturing capabilities.

? Funding: A total of ?500 crore has been allocated for the NCMS program as part of a larger
National Critical Minerals Mission.

October 2025 Page | 22