In a move aimed at giving a fillip to industrial development in the state, Punjab Chief Minister Bhagwant Mann, on Friday, handed over the land allotment letter to Tata group for setting up its scrap-based steel plant at an investment of Rs 2,600 crore in the first phase at Ludhiana.
“We are committed to making Punjab a front runner in the industrial sector and this maiden investment by Tata group in the state is a step forward in this direction,” asserted the CM during a meeting with a delegation led by Global Chief Executive Officer and Managing Director, Tata Steel Limited, TV Narendran, who called on him at his office on Friday.
Welcoming the Tata group to the state, Mann said this is a ‘Red letter day in the history of the state as this is a maiden investment by this globally leading company in the state. He expressed hope that investment by this major industrial group will further put the state on a high growth trajectory of industrial development.
The CM said it is a proud moment for Punjab and the state government will extend fulsome support and cooperation to the Tata group for setting up the plant in the state.
He said the youth of the state will be immensely benefited from this project as it will open new employment opportunities for them. He said that the Tata Group will invest around Rs 2600 Crore in the first phase of the project which will be located at Ludhiana, adjacent to the Hi-Tech Valley Industrial Park of the Government of Punjab.
Mann said this is the first investment by the Tata Group in Punjab adding that it will prove to be a milestone in propelling industrial growth in the state. The CM also patted the team of Invest Punjab which facilitated Tata Steel management in their endeavor to set up Tata Group’s first scrap-based integrated steel plant in India.
This electric arc furnace-based plant will produce 0.75 Million Tonnes (MT) per year of finished steel adding that the raw material for the steel-making process is 100 percent scrap. Mann said the plant will be spread over 115 acres of land adjacent to the state-of-the-art Industrial Park developed by Punjab Small Industries and Export Corporation (PSIEC).
On the occasion, CEO and Managing Director, Tata Steel, TV Narendran thanked the Government of Punjab for their support towards our ambitious greenfield project in the state.
He said Punjab is an ideal location for their electric arc furnace given its proximity to the market and scrap-generating Auto hub. Narendran said,” Steel produced through the recycled route entails lower resource consumption and lower carbon emissions, which reinforces their commitment to reducing the environmental impact of our operations. We see a good potential of growth for steel making through the scrap route in India if effective and simplified scrap collection policies are made and implemented,”.
Tata Steel group is among the top global steel companies with an annual crude steel capacity of 34 million tonnes per annum. It is one of the world’s most geographically diversified steel producers, with operations and commercial presence across the world. The group recorded a consolidated turnover of US $21.06 billion in the financial year ending 31 March 2021.