New Delhi : World’s biggest steelmaker ArcelorMittal’s India plants are making good progress and are scheduled to start operations by 2012, CFO of the world’s top producer of the alloy Aditya Mittal has said.
“We are making good progress. We should be breaking ground in the early next year (2009). We should be completing our first phase after we break ground within two years,” Mittal said in an interview to CNBC-TV18.
He further added “we should have steel being sold, produced in India by 2012.”
ArcelorMittal has planned two greenfield steel projects of 12 million tons capacity each in Orissa and Jharkhand. Besides, the global steel producer was recently allotted mining lease for 500 acres in Karampada mines in Jharkhand to meet its iron ore requirement.
He said the big emphasis for Arcelor Mittal is the green field and brownfield projects. “On a combined basis we expect to spend 50 billion dollar over the next 5-7 years in growing our steel business.”
To a question as to what does he expect from his company in India when South Korean steel major Posco could not deliver much in three years time, he said, “Roadblock is the name of the game and when the opportunities are huge there are challenges otherwise everyone would have done it.”
According to him, the 30-35% rise in steel prices was because of cost pressures and price escalation can be largely attributable to rapid industrialisation process.
“There is still room for prices to go up further and would depend on demand-supply scenario,” he added.