Overview
- Graphite royalties move from a per‑tonne levy to ad valorem rates—2% of average sale price for ore with at least 80% fixed carbon and 4% for lower grades.
- Royalty rates are now set at 2% of average sale price for caesium and rubidium and 1% for zirconium, providing price clarity across grades.
- The Union Cabinet approved amendments to the Second Schedule of the MMDR Act to operationalise the new structure.
- The decision is intended to guide bidding in ongoing critical‑mineral auctions, including a sixth tranche featuring five graphite blocks, two rubidium blocks, and one each of caesium and zirconium.
- The government frames the move as strengthening supply chains and reducing dependence on imports, with coverage noting concerns over China’s export controls and dominance in critical minerals.