ArcelorMittal Nippon Steel India is set to establish a major integrated steel plant in Andhra Pradesh, with a total investment of Rs 1,47,162 crore. The project, which has been significantly advanced by the efforts of HRD and IT Minister Nara Lokesh, will be constructed in two phases at Nakkapalli mandal, located in Anakapalli district. The plant is anticipated to create around one lakh job opportunities for local residents, offering a substantial boost to the region’s economy.

Industries, Food Processing, and Commerce Minister TG Bharath provided detailed information about the project during the Assembly’s Question Hour on Thursday. The plant will have an overall production capacity of 17.8 million tonnes per annum. The first phase of the project will see an investment of Rs 61,780 crore, and it will be capable of producing 7.3 million tonnes annually. The second phase, with an additional Rs 85,382 crore investment, will increase the production capacity to 10.5 million tonnes per year.

Minister Bharath reflected on the discussions that laid the foundation for the plant. In 2018, during the World Economic Forum (WEF) in Davos, Minister Lokesh and Aditya Mittal, Chairman and CEO of ArcelorMittal, had a pivotal meeting where they discussed the possibility of setting up the steel plant in Andhra Pradesh. However, due to a change in the political leadership of the state in 2019, the initial plans did not materialize. Despite the setbacks, Lokesh continued to engage with Aditya Mittal, and after the TDP-led NDA government came into power, they were able to reignite the conversation. Minister Bharath stated that the positive response from Mittal following these efforts helped pave the way for the steel plant's establishment.

The minister emphasized that ArcelorMittal Nippon Steel India chose Andhra Pradesh for the plant because of the strong trust it has in the leadership of Chief Minister N Chandrababu Naidu and the NDA government. He expressed confidence that this project would eventually become the largest steel plant in India, driving significant industrial growth in the region. Minister Bharath also mentioned that during visits to Davos, both Chief Minister Naidu and Minister Lokesh highlighted the investment opportunities in the state, which helped further the development of the steel plant.

This substantial project is expected to generate significant economic benefits for Andhra Pradesh, particularly in terms of job creation, infrastructure development, and industrial output. The steel plant’s capacity to produce large quantities of steel will not only contribute to the domestic market but also bolster export potential. With the growing interest in the state’s industrial sector, the plant's establishment marks a crucial milestone in Andhra Pradesh’s economic development. The long-term impacts of this project will be felt across multiple sectors, positioning the region as a key player in India’s industrial and manufacturing landscape