Chandrababu Naidu Lays Foundation Stone for ₹1.36 Lakh Crore ArcelorMittal Nippon Steel Plant in Anakapalli
In a major boost to Andhra Pradesh's industrial growth and India's steel production ambitions, Chief Minister N. Chandrababu Naidu today laid the foundation stone for ArcelorMittal Nippon Steel India (AM/NS India)'s greenfield integrated steel plant at Rajayyapeta near Nakkapalli in Anakapalli district.
The ₹1,35,964 crore (approximately ₹1.36 lakh crore) project, one of the largest industrial investments in the state, aims to produce 17.8 million metric tonnes of steel per annum. It will be developed in two phases, with the first phase targeting around 7.3–8.2 million tonnes capacity and operations commencing by 2028–2029, followed by full capacity expansion.
The ceremony was attended by key dignitaries, including Union Minister for Steel and Heavy Industries H.D. Kumaraswamy, Minister of State Srinivasa Varma, Deputy Chief Minister Pawan Kalyan, IT and HR Minister Nara Lokesh, AM/NS India Executive Chairman Lakshmi Mittal, and company representatives.
Lakshmi Mittal presented the plant model to the Chief Minister and Union Minister, followed by a visit to the Experience Zone at the site.
CM Chandrababu Naidu hailed the project as not just a steel plant but the foundation for a future "Steel City." He emphasized that the Andhra Pradesh government achieved this milestone in just 20 months through its "Speed of Doing Business" approach, attracting over ₹20.35 lakh crore in investments since coming to power.
He credited the swift land acquisition, approvals, and cooperation from farmers who sacrificed their land.The project includes a captive port with ₹11,198 crore investment (50 million tonnes capacity), dedicated pipelines for raw material supply, and connectivity via a four-lane national highway.
It is expected to generate direct and indirect employment for approximately one lakh people, with priority given to local youth from Anakapalli district. Skill development initiatives, including a Center of Excellence, will be established to train the workforce.Naidu highlighted the broader impact on North Andhra (Uttarandhra), positioning Visakhapatnam as a key economic region for knowledge economy, ports, steel, data centers, and IT.
He referenced upcoming projects like the Google data center, TCS, Cognizant, Reliance, and BPCL investments, along with the new Moolapeta port and Bhogapuram international airport. The region will also become a rare earth minerals hub, supported by Polavaram water supply.Union and state leaders praised the project's role in advancing India's goal of 300 MTPA steel production by 2030.
The plant underscores Andhra Pradesh's investor-friendly policies, skilled manpower, and commitment to industrial progress, transforming the industrial landscape of the state and creating sustainable economic opportunities.