New Delhi, Feb 1: Union Finance Minister Nirmala Sitharaman on Sunday announced the establishment of dedicated rare earth corridors in four mineral-rich states — Odisha, Kerala, Andhra Pradesh and Tamil Nadu — as part of the government’s push to strengthen India’s strategic minerals ecosystem.

The initiative builds on the scheme for rare earth permanent magnets launched in November 2025, and aims to promote mining, processing, research and manufacturing in these states. The corridors are expected to reduce India’s reliance on imports of critical minerals, while supporting domestic industries in electronics, renewable energy and defence.

To complement this, the Centre will also launch a scheme to support three dedicated chemical arks through a challenge route, based on a cluster-oriented plug-and-play model. The move is designed to boost domestic chemical production and reduce import dependency in sectors ranging from pharmaceuticals to advanced materials.

The announcement came during the presentation of the Union Budget 2026, which marked a historic milestone for Sitharaman. Delivering her ninth consecutive budget, she became the first finance minister in independent India to achieve this feat, surpassing P. Chidambaram and Pranab Mukherjee, and moving closer to the record of ten budgets presented by former Prime Minister Morarji Desai.

For the first time, the Union Budget was presented on a Sunday, with the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) holding special trading sessions to allow immediate market reactions. The rare earth corridors, particularly in Odisha, are expected to attract significant investment and create new opportunities for research and innovation in critical mineral technologies.