Several investment proposals including a joint venture between ArcelorMittal and Nippon Steels were cleared in Andhra's first SIPB meeting.
Published Nov 20, 2024 | 1:12 PM ⚊ Updated Nov 20, 2024 | 1:12 PM
Andhra CM Chandrababu Naidu and Dy CM Pawan Kalyan at SIPB meeting (X)
At its maiden meeting chaired by Chief Minister N Chandrababu Naidu, Andhra Pradesh’s State Investment Promotion Board (SIPB) cleared a proposal to promote investments worth ₹85,000 crore with the potential to create 33,966 jobs in the state.
In a meeting held in the Amaravati region on Tuesday, 19 November, several notable investment proposals were cleared including a joint venture between ArcelorMittal and Nippon Steels – seeking to set up a steel factory at Nakkapalli’s Bangarayyapet in the erstwhile Visakhapatnam district.
In the first phase, the duo’s joint venture proposes to set up an integrated steel plant including a captive port with an investment of ₹61,780 crore and aims to provide employment opportunities to 21,000 people.
In the SIPB meeting held near Vijayawada in Velagapudi (part of Amaravati region), it was decided to acquire land for the ArcelorMittal-Nippon steel Joint venture through the land pooling method.
Talking about the joint venture, CM Chandrababu Naidu said that Arcelor Mittal Steel Factory would provide direct employment to 61,000 youngsters seeking job and indirect employment to one lakh others.
He urged Andhra Pradesh government officials to ensure that the project is completed in four years, and that it will in turn lead to the emergence of a new city in the region.
“I want these projects to be grounded as early as possible,” said the TDP supremo who added that the entire area will look transformed once the steel factory and the Mulapet Port come into being. He asked officials to continue talks with the investors and remove bottlenecks if any.
The CM suggested that officials adopt one of the three methods for acquiring land for the ArcelorMittal steel plant
The Andhra Pradesh SIPB also cleared nine other proposals in its maiden meeting.
Approved investment proposals, job opportunities it would create
The officials apprised the CM that the previous YSRCP government had paid only ₹1,961 crore as incentives to the investors, while the TDP dispensation paid ₹3883 crore during its regime in 2014-19.
Responding to it, Andhra CM pointed out that the onus on the state had increased considerably as promoting investments took a backseat during YS Jagan Mohan Reddy’s term as the CM.
Many companies who signed MOUs with Andhra Pradesh during the previous TDP rule left since the advent of YSRCP government in the state due to ‘inhospitable climate,’ charged the CM.
To ensure these companies and many others start investing in Andhra Pradesh, Chandrababu Naidu stressed the importance of creating an environment conducive to attract investors. This in turn will create job opportunities for youngsters in the state.
The CM said that the industrial policy would have a lasting effect on people and asked officials to work tenaciously to ensure that whatever project they are working on translates to reality.
However, this may not be easy with other states too competing to attract investors. So, the CM underscored the need for acting with a competitive spirit in landing investments and fast track inflow of investments under the state’s “Speed of Doing Business” policy.
(Edited by Neena)
