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Odisha aims to be hub for aluminium downstream, ancillary units

Investments in aluminium downstream space gaining momentum, state attracted investments worth Rs 893 cr in past 5 years

Jayajit Dash  |  Bhubaneswar 

Image via Shutterstock
Photo: Shutterstock

Odisha, which is home to operational units of top three producers — Vedanta, Industries and National Company (Nalco) — is intensifying efforts to build an ecosystem for ancillary and downstream units. 

The initiative is in tune with the state government's efforts to attract investments in ancillary and downstream industries, one of the six focus sectors listed in its latest industrial policy statement of 2015.

Last month, the state government, in collaboration with and (JSL), hosted a meet for the aforementioned industries at Kalinganagar, which is the steel hub in Jajpur district. The event was attended by over 70 companies, including vendors of the two steel

Following the success at this meet, the state government has decided to organise a workshop on similar lines for the The event, expected to have a turnout of about 100 ancillary and downstream in aluminium, would be held here on October 16. For this event, the state government is partnering the Confederation of Indian (CII).

"The chief executive officers of Vedanta, and are going to attend the event. We have invited downstream and ancillary who will take up on-site visit of the park being developed at Angul", said an government official.

Investments in downstream space are gaining momentum in Over the past five years, the state has attracted investments worth Rs 893 crore, including proposals by Bahrain-based Midal Cables and Power Grid Corporation of India (PGCIL) subsidiary Grid Conductors. Four out of the five proposals drawn is for the park developed jointly by and state government-owned Idco at Angul.

Midal Cables has proposed a rod and wire conductor unit at the park at an of Rs 358.90 crore with an annual capacity of 60,000 tonnes per annum. Grid Conductors, on the other hand, has proposed to establish an and alloy conductor unit in at Rs 127.35 crore.

There is a proposal by Infrastructure to set up a facility for high-tension cables within the park at a cost of Rs 192.07 crore. Beyond the park, (India) has sought to put up an integrated downstream project at Dulampur in Bargarh district for Rs 155 crore.

With an of Rs 180 crore on the infrastructure of the project, the park would reflect a complete industrial state-of-the-art entity, fully equipped with logistics infrastructure facility, an exclusive training centre, a park administration, and a display and trade services facility. The park would also contain an Product Evaluation Centre (Apec) furnished with a full-fledged tool room, testing, simulation and evaluation facilities, processing hall and prototype development facility to foster innovation and deliver excellence in terms of quality.

This is the first of its kind project in the country where molten would be sourced directly to feed the downstream units at the park. The state has already received proposals in downstream industries of conductors, extrusions, castings, and foils to name a few. The extent of these investments diversifies to other value-added products catering to white goods, auto components, construction and other allied industries. Ancillary businesses are also expected to benefit from this project and their investors include providers of the raw material of calcined petroleum, special refractory bricks, cryolite, caustic soda and fluoride.

The park is located strategically in the vicinity of Nalco's smelting facility at Angul and also in close proximity to the ports and markets.

First Published: Sat, October 14 2017. 13:18 IST