BHUBANESWAR : The state cabinet chaired by Chief Minister Mohan Charan Majhi on Saturday approved the proposal for a Rs 17,250 crore integrated manufacturing complex by Kalyani Group in Dhenkanal district, marking a major push towards high-value manufacturing in automotive, aerospace, defence and specialty materials sectors.
The project has been approved under special provisions of the state’s Industrial Policy Resolution (IPR) 2022 and will be developed over nearly 1,100 acre in Gajamara as a multi-product industrial cluster.
As part of the project, Kalyani Steels Limited will establish an integrated advanced specialty steel project at Gajamara with a production capacity of 7,00,000 tonne per annum (TPA) and 10,000 TPA of titanium alloy manufacturing.
In addition to Kalyani Steel’s specialty steel unit, the complex will house a super alloy manufacturing facility of Saarloha Advanced Materials Pvt Ltd and an industrial components casting and forging unit of Bharat Forge and its subsidiaries, said chief secretary Anu Garg in her post-cabinet meeting briefing.
Planned as an integrated cluster, the project will include multiple production units along with dedicated vendor parks to build downstream value chains in titanium, specialty steel, auto components, and aerospace and defence manufacturing.
Project expected to bolster state’s position in strategic materials
The cluster model aims to improve competitiveness through shared infrastructure, common utilities, logistics efficiencies and streamlined regulatory support, she added.
The chief secretary said the project aligns with the state’s strategy to transition from a raw material-driven economy to a producer of high-value, technology-intensive and export-oriented products. It is also expected to strengthen localisation and reduce import dependence in critical and strategic sectors.
The integrated complex is projected to generate over 4,800 direct jobs and around 5,500 indirect jobs during the construction and operational phases. Total employment, including ancillary, downstream, upstream and vendor units, is expected to exceed 20,000 in the coming years as the ecosystem scales up.
The project is also expected to bolster Odisha’s position in strategic materials such as titanium and specialty steel, enabling downstream value addition within the state and supporting the national push for self-reliance in defence and advanced manufacturing, Garg said.
To facilitate the project, the state government has approved a special incentive package, including 45 per cent capital investment subsidy on plant and machinery.
On the day, the cabinet also gave post facto approval of summoning of 6th session of 17th Odisha Legislative Assembly from February 17. As many as 12 proposals from 10 departments were approved by the cabinet.