In a significant development for the Indian steel industry, ArcelorMittal Nippon Steel India (AM/NS India) is poised to launch a massive steel project in Andhra Pradesh. The two-phase project, estimated to cost a staggering Rs 1.4 lakh crore, will have a total capacity of 17.8 million tonnes per annum.

Preparations are underway for the establishment of the plant in the Nakkapalli Cluster, located in the Anakapalli district, part of the Visakhapatnam-Chennai Industrial Corridor. The plant will be situated near Rajayyapeta, close to the coastline. The project will span around 2,500 acres, including 450 acres for the township, and is expected to have an annual production capacity of 7.3 million tonnes, creating 20,000 jobs. The Andhra Pradesh Industrial Infrastructure Corporation (APIIC) has already acquired approximately 4,313 acres in the areas of Vempadu, Chandanada, Amalapuram, and DL Puram within the Nakkapalli cluster, with compensation payments nearly complete.

The company has identified a strategic location for the plant within the Nakkapalli Cluster in Anakapalli district. This coastal location, close to Rajayyapeta, offers easy access to port facilities, a crucial requirement for the steel industry. A captive jetty is being planned to streamline the import of raw materials and export of finished products.

To facilitate the smooth operation of the plant, significant infrastructure development is underway. A four-lane road will connect the national highway to the project site, ensuring efficient transportation of raw materials and finished products. Additionally, a dedicated railway line and a 50-kilometer pipeline will be constructed for the transportation of raw materials.

The project is expected to create around 20,000 direct jobs, providing a significant boost to the local economy. Moreover, it will have a ripple effect on ancillary industries, further stimulating economic growth in the region.

The Andhra Pradesh Industrial Infrastructure Corporation (APIIC) has already acquired approximately 4,313 acres of land in the Nakkapalli cluster. While most of the land is under the government's possession, a few legal hurdles remain to be cleared. The revenue administration is actively working to identify additional government land, D form land, and Girayit land to meet the project's land requirements.

The first phase of the project, involving an investment of Rs 70,000 crore, will focus on establishing a 7.3 million tonnes per annum steel plant. The second phase will see an expansion of capacity to 17.8 million tonnes per annum, requiring an additional 3,000 acres of land.

The establishment of this mega steel plant is expected to catalyse industrial growth in Andhra Pradesh. It will not only strengthen the state's position in the global steel market but also contribute to India's overall industrial development.