Odisha’s critical minerals sector is on track for dramatic growth over the next decade, with projected market value expected to reach USD 18 billion–20 billion by 2032 — more than double its current size — as the state pushes to integrate resource extraction with value-added processing and manufacturing. The expansion represents a strategic shift in India’s mineral economy towards supporting clean energy technologies, industrial supply chains and export-oriented manufacturing.
A study released at the Global Cleantech Expo-Odisha 2026 by the Net Zero Energy Transition Association (NETRA) outlines how Odisha’s critical minerals landscape may transform over the next six years. Current production value of approximately USD 8 billion is expected to more than double, underpinned by targeted policy frameworks and investment. Notably, the sector’s composition is anticipated to shift significantly: mining’s share of output will rise modestly, while processing and manufacturing are set to expand sharply — from single-digit shares today to roughly 40 per cent and 30 per cent of total value by 2032 — creating deeper industrial linkages within the state.The state’s resource base already encompasses more than 30 critical minerals, including recently verified deposits of lithium in Nayagarh, along with graphite, vanadium and cobalt — materials integral to batteries, electric vehicles, renewable energy components and advanced manufacturing. Odisha’s Rare Earth Corridor in Ganjam and a dedicated calendar for critical mineral auctions are central to the strategy to build robust local supply chains, boost domestic processing capacity and reduce dependence on imports.
Industry leaders and investors have responded to this growth vision. Major firms — including Tata Power, Hindalco, Luminous and others — have committed significant manufacturing investments, leveraging Odisha’s strategic port connectivity to integrate local production with both domestic market demands and export pathways. This industrial momentum could strengthen Odisha’s role as a national hub for solar, battery and electric vehicle (EV) manufacturing value chains, aligning with India’s broader energy transition agenda.State policymakers have also framed the sector’s expansion within overarching sustainability goals. Odisha’s ‘5J’ vision — emphasising Jal (water), Jungle (forests), Jami (land), Jiba Jantu (biodiversity) and Jana Sadharan (people) — aims to ensure that growth in critical minerals does not compromise ecological conservation or community welfare. Government officials have cited this integrated approach as essential to attracting MSMEs and tech startups, broadening economic participation while safeguarding environmental outcomes.
Economic analysts emphasise that Odisha’s rapid rise in critical minerals can bolster India’s industrial resilience. By anchoring more value-added processing and manufacturing locally, the state can capture higher economic returns and stimulate broader employment growth across sectors such as energy storage, EVs, electronics and green technologies. However, this transition also hinges on sustained policy support, infrastructure investment and strategic workforce development — areas where coordinated action between government, industry and research institutions will be crucial.Experts point out that integrating critical minerals development with downstream industries not only enhances export potential but also aligns with national ambitions to achieve net-zero emissions by 2070 and strengthen India’s position in global supply chains for next-generation technologies.
If current trajectories continue, Odisha is poised to not just supply raw materials but play an essential role in manufacturing and innovation ecosystems that power India’s clean energy and industrial transformation through the 2030s and beyond.
