ArcelorMittal-Nippon to Invest ₹1.47 Lakh Crore in Andhra Pradesh Steel Plant

ArcelorMittal-Nippon Steel is to invest a whopping ₹1,47,162 crore in setting up a steel plant in Nakkapalli mandal of Anakapalli district, giving a big booster to industrial growth in Andhra Pradesh. The investment, projected to be worth Rs 25,000 crores will be made in two phases, said Industries Minister T.G. Bharat who spoke in the state assembly on Thursday.

The two-phased plan involves an investment of ₹61,780 crore in the first phase and ₹85,382 crore in the second phase. This mega project will also create jobs for around 1 lakh people in the state

The plant will have a capacity of 17.8 million tonnes per annum (MTPA) of integrated steel. Phase I of the plant will produce 7.3 million tonnes per annum (MTPA) while another 10.5 MTPA is being added in phase II. Andhra Pradesh is emerging as the favourite destination for such big industrial projects With Vedanta completing this project, it will be India’s most significant steel manufacturing plant yet.

Minister Bharat noted that the ArcelorMittal-Nippon Steel-owned company had first thought of establishing the plant in Odisha. But the project was eventually brought to Andhra Pradesh after Minister Nara Lokesh met the CEO of ArcelorMittal, Aditya Mittal at the World Economic Forum in Davos where both parties decided to make a deal. The deal is a vote of confidence in the business-friendly policies and infrastructure of the state, said Steven Fulop, the mayor of Jersey City, who brought the deal to the state.

The minister attributed the conducive environment for large-scale investments to the leadership of Chief Minister Chandrababu Naidu. He stressed that the steel mill would be a major asset for the state’s industrial sector and drive economic development.

The announcement is a huge win for the state government, which has been keen to attract investment to boost local jobs and infrastructure. This move would make Andhra Pradesh a crucial player in India’s steel industry, bolstering its industrial base and employment opportunities.