JSW Steel announces construction of a steel plant in Paradip

Indian steelmaker JSW Steel has announced the start of construction of a new steel plant in Paradip, Odisha, India, with a capacity of 13.2 million tons of steel per year. It is reported by ArgusMedia.

The steel complex will include its own power plant, berths with forklifts and a cement shop. Investments in the integrated steel plant are estimated at about 650 billion rupees ($7.8 billion).

Currently, JSW Steel’s steel production capacity is estimated at 29.7 million tons. The company plans to increase it to 38.5 million tons by April 2024 – March 2025 fiscal year. The company’s iron ore mines in Odisha have reserves of 1.1 billion tons of ore.

In October-December 2023 (the third quarter of 2023-2024 fiscal year), JSW Steel produced 6.63 million tons of steel, up 7% year-on-year.

As GMK Center reported earlier, JSW Steel will set up a joint venture with Japan’s JFE Steel Corporation. The companies will invest 55 billion rupees (about $663 million) to set up a plant in Karnataka. Production is likely to start in fiscal year 2026/2027 to further expand capacity to meet the growing demand for electrical steel with a grain structure in India.

The company also considered acquiring foreign assets in Canada and Australia for iron ore and coking coal production, while prioritizing the expansion of its domestic raw material base. In this way, the steelmaker seeks to align its raw material supply chain with its plans to expand Indian production capacity from 28 million to 50 million tons per year by 2030.