BHUBANESWAR: The ArcelorMittal Nippon Steel (AM/NS) has revived its plan to set up a steel plant in Odisha at Mahakalpada block of Kendrapara district with a huge investment of Rs 1,02,275 crore.
The proposal for the 24 million tonne per annum capacity plant was cleared at the meeting of the High-Level Clearance Authority (HLCA) headed by CM Naveen Patnaik on Friday. The mega project is expected to generate direct employment opportunities for 16,000 persons and create significant indirect employment opportunities through ancillary and downstream industries and services.
The project will be completed within seven years in phases. The logistic infrastructure, power and water utilities and all the clearances for the project will be provided in a time-bound manner by the government agencies, which will be monitored by a high power committee headed by the chief secretary.
The approved project is the largest project in the manufacturing sector in the country. At its Kendrapara complex, the AM/NS will produce 24 million tonne of various grades of steel with its latest green steelmaking technology. it will also produce high value-added steel downstream products.
This is for the second time that Mittal is trying to set up a steel plant in Odisha. Earlier in 2013, the company had withdrawn from a steel project in Keonjhar district due to land acquisition, raw material and other issues.
The proposed facility will also produce 18.75 MT of cement annually, making it one of the largest cement manufacturing plants in the country and will boost the infrastructure development in the region. Official sources said that along with the steel complex, the company will also develop a downstream industry park to promote the MSMEs and help import substitution. A large number of ancillary manufacturing companies are expected to put up their units in this region to support the huge steelmaking facility.
If the project comes up, this will be the first big industry in Odisha. This will give a boost to the logistics and overall development of the region. The modern, green and environment-friendly steel making facility will put Kendrapara and Odisha on the world steel map. A number of international equipment manufacturers will be stakeholders in this project and catalyse more employment opportunities for the state.
With this massive investment, Odisha has garnered investments worth INR 2.70 Lakh crore in the past 12 months, creating potential employment opportunities for over 1.6 Lakh persons.