JSW Steel plans to invest $6 bn at Bellary plant

JSW Steel plans to invest $6 bn at Bellary plant

Mumbai: Steel-maker JSW Steel Friday said it plans to invest around Rs25,000 crore in expanding the capacity of its Bellary plant in Karnataka by 6 million tonnes to 16 million tonnes in next three years.

“We have decided to expand steel manufacturing capacity at our Bellary plant from 10 million tonnes to 16 million tonnes at an investment of $5-6 billion (around Rs20,000- 25,000 crore) in the next three-years," JSW Steel’s vice- chairman and managing director, Sajjan Jindal, told reporters here.

“We are also looking at investing in infrastructure to develop roads, railways and power plants at our Bellary unit," Jindal said, adding that the company is at present working on the details of these investments.

“We have already invested close to Rs40,000 crore in the Bellary plant and will continue to invest in Karnataka due to the proactive policy of the Karnataka government," he said.

“Our investment in Karnataka is the largest compared to other units," he said.

“The upcoming ports and extensive railway networks will help industries to grow in the state. The new mineral policy by the Karnataka government is also a positive initiative," he said.

Steel prices could go up, he said, as raw material prices have risen substantially.

“There is a huge cost-push because raw material prices have gone up substantially," Jindal said.