India Bans Export of Lithium-ion Battery Black Mass: Keeping Critical Minerals at Home
The Directorate General of Foreign Trade (DGFT), under the Ministry of Commerce and Industry, changed the export policy for lithium-ion battery black mass from "Free" to "Prohibited", with immediate effect and "until further orders". The notification is dated 10 November 2026.
The banned item is described as unsorted waste and scrap of spent primary cells, primary batteries and electric accumulators (rechargeable batteries) that do not contain lead, cadmium or mercury, specifically lithium-ion battery black mass.
Black mass is the dark powder left after old lithium-ion batteries (or battery factory waste) are shredded. It holds valuable metals such as lithium, cobalt, nickel and manganese, and often graphite.
The government said the ban will give domestic recycling and refining plants enough raw material, cut import dependence and foreign exchange outflow, and support battery making, electric vehicles (EVs) and energy storage under Aatmanirbhar Bharat (self-reliant India).
The step is meant to support the National Critical Mineral Mission (NCMM) and its ₹1,500 crore recycling incentive scheme. India's domestic recycling capacity has grown, but plants run below capacity because they do not get enough feedstock (raw input).
A trade think tank noted that India's exports of this material were nil in the last financial year, and warned that strict Customs checks will be needed so that black mass is not shipped out under other labels such as "cobalt powder".
Battery Waste Management Rules, 2022
The Battery Waste Management Rules, 2022 are India's main rules for what must happen to batteries once they are used up. They make the companies that sell batteries responsible for collecting the old ones and getting them recycled or refurbished. They also set targets for how much material recyclers must recover from old batteries, and how much recycled material must go into new batteries. The rules cover every kind of battery: from a phone battery to an electric car battery.
The battery rules make sure used lithium-ion batteries reach registered Indian recyclers and set high recovery and recycled-content targets. But recyclers can meet these targets only if they get enough black mass. By banning black mass exports, the government is keeping this feedstock inside India so the recycling system built by these rules can work at full capacity.
Critical Mineral Recycling Incentive Scheme (2025)
The Critical Mineral Recycling Incentive Scheme is a Government of India programme that pays part of the cost for companies that recover critical minerals from waste such as old batteries and electronic scrap. It was approved by the Union Cabinet on 3 September 2025 with an outlay of ₹1,500 crore, as part of the National Critical Mineral Mission. Its aim is to build India's capacity to extract lithium, cobalt, nickel and other minerals from waste instead of importing them.
Subsidised recycling plants are useless if their raw material is shipped abroad. The government said the black mass export ban complements this ₹1,500 crore scheme by securing feedstock for the plants it supports.
National Critical Mineral Mission (NCMM): India's Plan to Secure Minerals of the Future
The National Critical Mineral Mission (NCMM) is the Government of India's seven-year programme to make the country self-reliant in critical minerals: minerals like lithium, cobalt, nickel and rare earths that are vital for EVs, batteries, electronics and clean energy, but whose supply is risky. It covers the whole chain: finding minerals, mining them, processing them, buying mines abroad and recycling them from old products.
Recycling black mass is one of the cheapest ways for India to get lithium, cobalt and nickel without new mines. Keeping black mass inside the country directly serves the mission's goal of reducing import dependence for these minerals.
- Export policy of lithium-ion battery black mass changed from "Free" to "Prohibited" by DGFT; notification dated 10 November 2026, with immediate effect
- Black mass contains lithium, cobalt, nickel, manganese and often graphite
- India's exports of these goods were nil in the last financial year, according to a trade think tank
- Battery Waste Management Rules notified August 2022 under the Environment (Protection) Act, 1986; replaced the 2001 rules
- Recovery targets for portable and EV batteries: 70% → 80% → 90% (2024-25 to 2026-27)
- Recycled content in new portable and EV batteries: 5% (2027-28) → 20% (2030-31)
- Critical Mineral Recycling Incentive Scheme: ₹1,500 crore, approved 3 September 2025; 20% capex subsidy; target 270 kt recycling capacity
- National Critical Mineral Mission: approved 29 January 2025; ₹16,300 crore government outlay; ₹34,300 crore total over seven years