Posco, Tata Steel to start work in Orissa by June

"I have a feeling that Tata Steel and Posco India will start their construction work by the end of June 2008," said Pandey.

While the South Korean steel giant Posco will set up a 12 million tonne greenfield steel project near Paradip at an investment of Rs 52,000 crore, the Tatas are planning to construct a 6 million tonne integrated steel plant at Kalinganagar for Rs 15,400 crore.

Talking to the media after reviewing the progress of 8 mega steel projects coming up in Orissa, Pandey said Tata Steel has deputed a dedicated team of officials to take care of issues.

The transit homes are being made operational and an environment of good will is being created.

Regarding Posco India, the union secretary said a major chunk of the total land requirement is forest land. Once the Supreme Court clears the forest diversion plan (FDP), there will be plenty of land to start the construction work.

Stating that India had turned a net importer of steel in the last financial year, Pandey said Orissa is endowed with rich mineral resources. It has the potential to produce about 75 million tonnes of steel per annum.

The state is poised to have 40-45 million tonnes of steel by 2011-12, thanks to Tata Steel, Posco, ArcelorMittal, Jindal Steel and Power, Bhushan Steel and Power, Essar Steel and Rourkela Steel Plant.