NMDC evinces interest to set up plant in Karnataka

State-run National Mineral Development Corporation (NMDC) has submitted a proposal to the Karnataka government seeking permission to set up a five million tonne capacity steel plant in Bellary.

The proposed project is expected to be permitted in the jurisdiction of the Vijayanagar Area Development Authority, State Minister for Tourism G Janardhana Reddy said. Areas such as Bellary, Hospet and Sandur have been brought under the newly created authority, Reddy, who is also minister-in charge of Bellary district, said.

The state government has an ambitious plan to develop Bellary as a "steel district" promoting several industries, including townships, he said. The new mining policy unveiled by the state would give boost to mining industry and revenues to the state, Reddy said defending the policy, which has come under flak by opposition who maintain that it has been tailored to benefit few mine owners.