JSW to invest Rs.50,000 crore in Odisha for steel plant

The Dollar Business Bureau 

JSW Group, one of biggest business conglomerates in India, has committed Rs.50,000 crore investment for a 10 million tonne steel plant in the state of Odisha.

“JSW Steel will set up a 10-million-tonne steel plant in Odisha at an estimated investment of Rs.50,000 crore. In the first phase, the company will set up a 4-million-tonne mill. Later, the capacity will be ramped up to 10 million tonnes,” said Sajjan Jindal, Chairman, JSW Group, after meeting Naveen Patnaik, Chief Minister of Odisha, at an investors' meeting in Bengaluru.

On the location of the proposed steel plant, he declined to comment but hinted it may be set up near the Paradip port. “Discussions are going on with the state government to finalise the details of the project,” he said.

“The government of Odisha is in discussions with JSW Steel to find out a suitable location. Once the company brings a detailed proposal, the government can provide them approval within a month,” said Sanjiv Chopra, principal secretary for industries, Odisha.

JSW Steel is also interested in taking part in the iron ore blocks auctions in the state. The steel producer had unsuccessfully bid for the first block of iron ore offered by Odisha.

The cement arm of JSW has proposed a cement grinding unit at a cost of Rs.500 crore, in Kalinganagar, in the district of Jajpur. The project has got the approval from the Odisha government. JSW Steel is also investing an additional Rs.2,000 crore into two new berths for iron ore and coal at Paradip port.

JSW Steel had earlier expressed its interest in establishing a steel plant in the state in July 2013.