JSW Steel to Begin Work on 13.2 Million Tonnes Odisha Steel Plant

JSW Steel is set to begin construction work on its proposed 13.2 million tonnes per annum integrated greenfield steel plant at Dhinkia near Paradip in Odisha’s Jagatsinghpur district, marking a major industrial milestone for the state.

The project will be developed by JSW Utkal Steel Ltd, a wholly owned subsidiary of JSW Steel. The steel complex is planned on land earlier acquired for South Korean steel major Posco’s proposed project, which could not take off due to land acquisition and environmental concerns.

Initially estimated at around Rs 65,000 crore, the project cost may rise up to Rs 1 trillion due to capacity expansion plans and advanced technology adoption. The company is expected to begin construction of two large blast furnaces simultaneously.

The integrated complex will include a 13.2 million tonnes per annum steel plant, a 900 MW captive power plant, a 10 million tonnes per annum cement grinding unit and a captive jetty near Paradip. It will also include an iron ore slurry pipeline connecting Keonjhar district to the steel complex.

JSW Steel plans to develop the project in phases and later expand the plant’s capacity up to 25 million tonnes per annum, making it one of India’s largest steel manufacturing facilities once fully operational.

The project’s proximity to Paradip port is expected to provide strong logistics advantages for raw material movement and export of finished steel products. It will also strengthen Odisha’s position as a major steel and industrial investment destination.

The commencement of work is seen as a significant development for Odisha, which had faced years of uncertainty after the Posco project failed to materialise. With key land and procedural issues addressed, the JSW Steel project is expected to create employment, support ancillary industries and boost regional economic growth.