AM/NS breaks ground for Greenfield steel plant in Andhra Pradesh

On Monday, ArcelorMittal Nippon Steel India Private Limited (AM/NS India) laid the foundation stone for India's largest greenfield integrated steel plant in Rajayyapeta village, Nakkapalli mandal, Anakapalli district, Andhra Pradesh. The company plans to invest around Rs 70,000 crore to develop the facility in phases, achieving a total capacity of 17.8 million tonnes per annum (MTPA)—7.3 MTPA in Phase 1 and 10.5 MTPA in Phase 2.

Steel manufacturing operations are slated to begin in the first quarter of 2029, with other units rolling out progressively. The plant will produce diverse steel grades, including high-quality, value-added products to boost India's self-reliance, cut imports, and align with Viksit Bharat 2047.

“This project underscores Andhra Pradesh’s appeal as a top investment destination and reflects growing global confidence in our state. Our government is fully committed to supporting AM/NS India in driving growth, creating jobs, and elevating Andhra’s role in India’s industrial future,” said Chief Minister N. Chandrababu Naidu.

Union Steel Minister H.D. Kumaraswamy noted that as the world’s second-largest crude steel producer, India needs projects like this to meet Viksit Bharat 2047 goals. “This collaboration merges global expertise with domestic ambition to fortify our steel ecosystem,” he added.

“With 50 years in the steel industry, I can say this Indian project is a career highlight. It’s an honor to contribute to Viksit Bharat through world-class, sustainable steelmaking that powers national self-reliance,” said ArcelorMittal Executive Chairman Lakshmi Mittal.

AM/NS India Chairman Aditya Mittal praised the steadfast support from the Andhra Pradesh and Indian governments. “Steel is the fabric of life. We are proud to build one of India’s most competitive, modern plants here ideally located on the coast with easy access to the richest iron-ore belt via our slurry pipeline. It will serve South India’s booming market and beyond,” he said.

Spanning over 5,400 acres, the plant will feature a captive port with an additional Rs 11,000 crore investment to enhance logistics and exports. The initiative promises around 1 lakh direct and indirect jobs, including 6,000 from the port. The state is expediting infrastructure like four-lane NH-16 connectivity, plus dedicated water and power supplies.