UPSC Prelims Practice Questions — The shift of critical minerals to India’s strategic centre

Q1. In the Union Budget 2025-26, on the scraps of how many critical minerals was the basic customs duty fully eliminated to provide feedstock to the recycling industry?

  • A. 8
  • B. 12
  • C. 25
  • D. 30

Q2. In the Rs.34,300 crore outlay of the National Critical Mineral Mission, which one of the following is expected to contribute the larger single share?

  • A. Direct government budgetary expenditure
  • B. Investment by Public Sector Undertakings (PSUs) and others
  • C. State government matching grants
  • D. External multilateral funding

Q3. Under the National Critical Mineral Mission, which agency has been mandated to carry out 1,200 exploration projects between 2024-25 and 2030-31?

  • A. Geological Survey of India
  • B. Mineral Exploration and Consultancy Limited
  • C. Indian Bureau of Mines
  • D. Atomic Minerals Directorate for Exploration and Research

Q4. With reference to the National Critical Mineral Mission as approved in 2025, consider the following statements: 1. It was approved by the Union Cabinet in January 2025 with a total outlay of about Rs.34,300 crore. 2. The mission is to run for seven years, from FY 2024-25 to FY 2030-31. 3. The entire outlay of about Rs.34,300 crore consists of direct government budgetary expenditure. Which of the statements given above is/are correct?

  1. It was approved by the Union Cabinet in January 2025 with a total outlay of about Rs.34,300 crore.
  2. The mission is to run for seven years, from FY 2024-25 to FY 2030-31.
  3. The entire outlay of about Rs.34,300 crore consists of direct government budgetary expenditure.
  • A. 1 and 2 only
  • B. 2 and 3 only
  • C. 1 and 3 only
  • D. 1, 2 and 3

Q5. In the context of India's critical minerals strategy, the term 'critical mineral' is most precisely defined as a mineral that:

  • A. is essential for economic development and national security and whose supply chain is vulnerable to disruption with no easy substitute
  • B. occurs only in trace quantities within the earth's crust regardless of its economic use
  • C. is radioactive and therefore reserved for the atomic energy programme
  • D. is exported in larger volumes than it is domestically consumed