The Andhra Pradesh government is moving into the extraction and processing of rare earth and titanium-based minerals. The plan aims to tap the economic potential of its sand reserves and reduce India's dependence on global supply chains largely dominated by China. The state government also plans to develop a downstream manufacturing hub along its coastline to support this initiative.
"Andhra Pradesh is preparing a strategic push into rare earths and titanium-based minerals by unlocking the economic potential of its vast beach sand reserves -- a move aimed at reducing India's dependence on China-dominated global supply chains," a press note said on Saturday.
As per the Andhra Pradesh Mineral Development Corporation (APMDC), the state has the second-largest beach sand mineral reserves in the country. These account for nearly 25 per cent of the country's total reserves.
The release said these reserves contain high concentrations of ilmenite, rutile, zircon and monazite. Monazite is considered an important source of rare earth elements (REEs). Beach sand minerals are crucial inputs for several high-value industries. They are used in sectors ranging from paints and aerospace components to nuclear fuel and permanent magnets used in electric vehicles and wind turbines.
Ilmenite and rutile are processed to produce titanium dioxide pigment and titanium metal. Monazite, on the other hand, yields rare earth oxides that are essential for electronics and clean energy technologies.
Despite having some of the world's largest titanium mineral reserves, India currently imports more than 75 per cent of its titanium dioxide pigment needs. Nearly two-thirds of these imports come from China, the release said. Rare earth magnets also present a fast-growing opportunity. These magnets are essential for motors, renewable energy systems, defence equipment and consumer electronics.
Demand for rare earth magnets in India is expected to grow at over 15 per cent annually and is projected to double by 2030, according to the release. At present, India depends heavily on imports for both rare earth materials and finished magnet products. This makes manufacturers vulnerable to geopolitical tensions and supply chain disruptions.
To make use of this opportunity, APMDC has secured approvals for 10 major beach sand deposits. These are located in coastal districts such as Srikakulam, Vizianagaram, Visakhapatnam, Kakinada and Krishna.
The deposits cover thousands of hectares and contain tens of millions of tonnes of heavy mineral reserves. The release said several additional blocks are also under development or are in advanced stages of clearance.
The government views these deposits not just as mining sites but as the base for an entire value chain. This would include mineral separation, refining and advanced manufacturing of titanium products and rare earth-based components.
With six operational ports that together have over 330 million tonnes of cargo capacity, Andhra Pradesh already has strong infrastructure. Industrial corridors such as the Vizag-Chennai Industrial Corridor, along with logistics and power networks near coastal mineral belts, further support the plan.
This proximity allows heavy mineral processing plants, pigment facilities, titanium metal units and rare earth refining clusters to be set up close to the raw material sources. This could significantly reduce logistics costs, the release said.
The state's beach sand strategy also aligns with the country’s broader push for critical mineral security and domestic manufacturing, especially for clean energy and defence sectors.
If implemented on a large scale, Andhra Pradesh could emerge as India's main hub for titanium dioxide pigment and titanium metal. It could also lead the production of rare earth oxides, permanent magnets and advanced materials for aerospace, electric vehicles and renewable energy sectors.
Apart from reducing imports, the sector could also generate major export revenues. Global manufacturers are looking for supply chains outside China for critical minerals.
In this way, Andhra Pradesh is positioning its coastline not only as a mining zone but also as a strategic materials corridor that could power India's next phase of industrial growth, the press release added.
Also read: 21 killed in blast at Kakinada fireworks unit