International Advanced Research Centre for Powder Metallurgy and New Materials (ARCI) has established a pilot plant for the manufacture of neodymium-iron-boron (Nd-Fe-B) rare earth permanent magnets in Hyderabad. The facility is intended to support the development of domestic manufacturing capabilities for critical materials used in electric vehicles, renewable energy systems, electronics, and advanced manufacturing.
According to a press release issued by ARCI, the pilot plant adopts an end-to-end production approach, covering processes from strip-cast alloy to finished sintered magnets. The facility is designed to enable technology validation, process optimisation, and demonstration, with the objective of scaling up indigenous innovations to commercial manufacturing.
The plant was inaugurated on 20 March 2026 by Abhay Karandikar, Secretary, Department of Science and Technology. “As we work towards Viksit Bharat 2047, addressing resource constraints and strengthening indigenous capabilities in critical technologies will be central to our development strategy,” said Karandikar. He added that initiatives such as the pilot plant are intended to reduce dependence on external sources while enhancing resilience and competitiveness.
ARCI stated that rare earth magnet supply chains are currently concentrated globally, creating vulnerabilities for emerging economies. The development of indigenous capabilities across the value chain, from materials to magnet manufacturing, is expected to improve supply security and cost competitiveness.
The pilot-scale facility will also serve as a platform for industry collaboration, process optimisation, and product development. “The transition from research to manufacturing is what makes this pilot plant truly significant. Its flexibility will enable continuous innovation, process optimization, and product development,” said Ashutosh Sharma, Chairman, Governing Council, ARCI.
Shivkumar Kalyanaraman, Chief Executive Officer of Anusandhan National Research Foundation (ANRF), said initiatives under the Mission for Advancement in High-impact Areas are focused on accelerating critical technologies, including those related to the electric vehicle ecosystem, and invited private sector participation in translational research.
R. Vijay, Director of ARCI, said the organisation is working towards developing a “mineral-to-market” ecosystem, covering rare earth extraction through to magnet manufacturing, to strengthen research translation and industry linkages.
The facility is expected to support the commercialisation of indigenous rare earth magnet technologies and contribute to the growth of advanced materials manufacturing in India.
ARCI is an autonomous institution under the Department of Science and Technology focused on research and development in advanced materials, powder metallurgy, and manufacturing technologies.
