Korean steel giant evinces fresh interest to set up plant in Odisha

Posco plans to invest US $12 billion to establish the unit.
For representational purposes
For representational purposes

BHUBANESWAR: South Korea Ambassador Shin Bongkil on Monday rekindled the hope of Posco investing 12 billion US dollar (approximately Rs 90,000 crore) in a steel project in Odisha.

Participating in a roundtable on ‘South Korea and Odisha: Promoting Bilateral Business Opportunities’ organised by the Indian Chamber of Commerce (ICC) in association with Industrial Promotion and Invest Corporation of Odisha Ltd (IPICOL) through virtual mode, Bongkil said Korean steel giant Posco has plans to make one of the single largest FDI in the history of India with an investment of US $12 billion to set up an integrated steel plant in Odisha.

Such an announcement from the South Korean ambassador came after four years of scrapping the green field project. In February 2017, Posco had communicated its intention to surrender the 1,880 acre of land handed over to it by Idco saying that it had no intention to use it urgently.The project ran into rough weather as the overseas company did not get a firm commitment from the State government to get a captive mines for the proposed plant following changes in the Mines and Minerals (Development and Regulations) Act, 1957.

Informing that 66 new Korean companies have entered India in the last one year, Bongkil said these companies have made an investment of US $17 million in 2020 as compared to US $21.15 million in the previous year which is a very good figure keeping in view the pandemic situation.Director of Korea Trade-Investment Promotion Agency Young Seaon Park said the Korean companies are very eager to work in the areas of renewable energy, water treatment and smart city projects. B2B meetings will be organised in September for exploring opportunities in smart city projects.

Minister of State for Industries and MSME Dibya Shankar Mishra said Odisha and Korea have many possibilities to collaborate across the identified focus sectors of the State. He said Odisha is in the process of implementing a strategy document, Vision 2030, which aims to ensure that 50 per cent of the primary metals produced in the State is value added in the State.

Special Secretary of Industries and Managing Director of IPICOL Nitin B Jawale showcased the strength and diversity of Odisha through an audio visual. Elaborating on Vision 2030, he said the State is expecting an investment of Rs 2 lakh crore.The session was moderated by JB Pany, Chairman of ICC Odisha State Council and Siddhant Kaul, Consul General, Republic of Korea also spoke.

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