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Domestic budget proposal

India's Rare Earth Corridors, Tech Push

Analysis based on 7 articles · First reported Feb 01, 2026 · Last updated Feb 01, 2026

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The proposed rare earth corridors, semiconductor missions, and biopharma initiatives are expected to significantly boost India's domestic manufacturing capabilities and reduce reliance on imports, positively impacting related industries and potentially attracting foreign investment. This could lead to increased stock prices for companies in these sectors and overall economic growth for India.

mining electronics biotechnology

Finance Minister Nirmala Sitharaman presented the Union Budget 2026-27, proposing several key initiatives to bolster India's economy. A major proposal includes establishing dedicated rare earth corridors in mineral-rich states like India — Odisha, India — Kerala, India — Andhra Pradesh, and India — Tamil Nadu to promote mining, processing, research, and manufacturing of rare earth permanent magnets. This builds on a scheme launched in November 2025 with an outlay of Rs 7,280 crore to establish 6,000 MTPA of integrated REPM manufacturing capacity in India. Additionally, Sitharaman proposed a Biopharma Shakti programme with Rs 10,000 crore over five years to develop India as a global biopharma manufacturing hub. The budget also includes a Rs 40,000 crore allocation for electronics components manufacturing and the launch of Semiconductor Mission 2.0 to strengthen supply chains and develop Indian IP. These measures aim to enhance India's self-reliance and position it as a key player in strategic global markets.

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Narendra Modi prime minister India Narendra Modi serves as the Prime Minister of India, acting as the head of government and leading the country's domestic
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