Shriyal Sethumadhavan
In a strategic move to boost its industrial landscape, the Odisha Government unveiled a comprehensive investment scheme targeting the stainless steel downstream sector at the Global Stainless-Steel Expo 2023. The initiative offered a 20 per cent capital investment subsidy over five years, with no upper investment cap. Additional incentives included a Rs 2 per unit power tariff subsidy, 100 per cent electricity duty exemption, full reimbursement of Employee State Insurance (ESI) and Employee Provident Fund (EPF) contributions for up to five years, and prioritised land allocation for projects.
These measures aimed at reducing operational costs and enhancing competitiveness, making Odisha an attractive destination for investors in the stainless steel industry. The state’s rich mineral resources – accounting for over 55 per cent of India’s iron ore production and robust infrastructure, including a 480 km coastline with major ports like Paradeep, Dhamra, and Gopalpur, further strengthen its appeal.
When Stainless Today at a recent industry gathering in Mumbai asked Shri Mohan Charan Majhi, Chief Minister of Odisha, about how this initiative has attracted investments in the state, he emphasised the state’s commitment to industrial growth, stating, “The investment is good. It will grow. We have made the industrial policy liberal. On this basis, Jindal Company and Tata Company are progressing and expanding their operations in Odisha.” He also highlighted Odisha’s leading role in India’s steel sector, noting plans to increase steel production capacity from the current 41 million tonne to over 130 million tonne by 2030.
The state’s proactive approach has already attracted significant investments. Notably, JSW Steel and South Korea’s POSCO have announced a joint investment of Rs 65,000 crore ($7.73 billion) to establish a new steel plant in Odisha, aiming to leverage the state’s favourable policies and resource availability.
Odisha’s strategic initiatives, coupled with its resource wealth and infrastructure, position it as a rapidly growing hub for the stainless steel industry. The state’s focus on downstream processing is expected to not only attract investments but also generate employment and drive economic growth, reinforcing its status as a key player in India’s industrial landscape.
With the Global Stainless Steel Expo 2025 just around the corner, the upcoming Stainless Steel Summit on June 4-5-6 in Mumbai is set to spotlight such transformative initiatives by both corporate and the government. To register for the event: Click Here
