AP Targets Rare Earth Boom with Statewide Mineral Mapping Drive

In a major push to unlock Andhra Pradesh’s untapped natural resources and strengthen its industrial economy, Chief Minister N. Chandrababu Naidu has directed officials to undertake a comprehensive statewide mineral mapping exercise aimed at identifying valuable mineral reserves and accelerating value-added industrial development.

The decision was taken during a high-level review meeting of the Mines Department held at the Chief Minister’s camp office in Amaravati on Tuesday. Emphasizing the need to move beyond conventional mining, Chandrababu called for a strategy focused on mineral processing, value addition, and downstream manufacturing , which could significantly enhance state revenues while generating large-scale employment opportunities.

The Chief Minister noted that Andhra Pradesh possesses substantial reserves of coastal mineral sands, rare earth elements, iron ore, manganese, alumina, and other strategic minerals . He instructed the Andhra Pradesh Mineral Development Corporation (APMDC) to conduct detailed studies with expert support to identify commercially viable opportunities and maximize returns from the state's mineral assets.

Highlighting the growing global demand for critical minerals, Chandrababu said Andhra Pradesh should position itself as a key player in India's emerging critical minerals ecosystem . He proposed the creation of a Rare Earth Minerals Cluster linking Andhra Pradesh, Odisha, and Kerala, states known for their rich coastal mineral deposits. The proposed cluster would focus on the assessment and processing of high-value minerals such as titanium, ilmenite, and monazite , which are essential for advanced electronics, electric vehicles, renewable energy technologies, defence systems, and nuclear applications.

Officials informed the Chief Minister that 126 mineral-bearing locations containing chemical, bulk, and other valuable minerals have already been identified across the state. They also reported that improved mining operations and regulatory measures have contributed to an 18 percent increase in mining-related revenue .

The review meeting also focused on the potential for expanding gold exploration activities in the Jonnagiri and Chigargunta regions, both of which have attracted attention for their promising gold deposits. Chandrababu directed officials to evaluate additional mineral blocks for future exploration and development.

At the same time, the Chief Minister stressed the importance of maintaining strict oversight of mining and sand extraction activities. He ordered the deployment of CCTV surveillance, satellite-based monitoring, and GPS tracking systems for sand transportation to curb illegal mining and ensure transparency.

Referring to the state's free sand policy , Chandrababu noted that the government forgoes nearly ₹1,000 crore annually in potential revenue to benefit citizens. He instructed officials to ensure that the scheme remains transparent, efficient, and free from misuse.

With India increasingly focusing on securing domestic supplies of critical minerals, Andhra Pradesh’s mineral mapping initiative is expected to lay the foundation for new investments, advanced processing industries, and long-term economic growth, positioning the state as a major hub in the country’s strategic minerals sector.