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Govt to invest Rs 500 cr in setting up five scrap-based steel plants

Stressing that all the scrap will be reused to make steel, Steel Secretary Aruna Sharma said that by 2030 around 30-40 million tonnes of steel would be made from scrap

Press Trust of India  |  New Delhi 

Govt to invest Rs 500 cr in setting up five scrap-based steel plants

The is planning to set up five plants at an investment of Rs 500 crore within a year to ensure that a chunk of the country's targeted 300 million tonne output is through

India's target is to more than double the output by 2030, from 10 MT at present.


"...from 126 MT (million tonnes) to 300 MT (of output) that we are eyeing, in that everything will not come from the fresh iron. So it will be coming from the scrap," Secretary Aruna Sharma told PTI.

"Within one year all the five (scrap-based) plants will come," she said, adding that in each plant around Rs 100 crore would be invested.

Stressing that all the will be reused to make steel, Sharma said that by 2030 around 30-40 million tonnes of would be made from

Stating that the first such plant would come up next month in Noida, Uttar Pradesh, she said, "after we will start in Southern India, then in Western India, Central then one more in Northern India".

State-run metal trading firm MSTC has signed a joint venture (JV) agreement with Intertrade for setting up the first such plant.

"As of now the JV is between MSTC and Hyundai has shown interest for Southern So they will also join the same group. What we are saying is that it is MSTC JV (and) anybody can join them," Sharma said.

Intertrade is a part of Partners Division of the USD 17.8 billion diversified Group, while the mini-ratna public sector undertaking (PSU) is engaged in the export of ferrous

The country's annual requirement is 5-6 million tonnes, which at present is done through imports.

The had earlier said that the scrapbased plants which are environmentfriendly, energyefficient and cost effective would be on the lines of 'melt and manufacture' technology used in the US.

First Published: Sun, September 24 2017. 13:25 IST
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