Tata Steel to start building Orissa plant next month

MUMBAI: The Ratan Tata-led Tata Steel's Rs 21,000 crore steel plant project in Orissa, already delayed by four-years due to stiff resistance from locals over the issues of displacement and rehabilitation, is likely to start construction work next month, a senior company official said.

Tata Steel has plans to build a six million tonne steel plant at Kalinganagar Industrial Complex in Jajpur district of Orissa.

"We have received 80 per cent of the required land from the State Government and the balance will be received soon. We will start construction work next month," Tata Steel India's Chief (Corporate Affairs and Communication), Sanjay Chowdhary, told PTI over phone.

"The company has already placed orders worth Rs 6,373 crore for equipment and civil structures for the project. The first consignment of equipment, Steel Melting Shop (SMS) for the project has reached Kalinganagar from Germany recently," Chowdhary, said.

"More equipment will arrive in the next three to four days," he said.

Over Rs 500 crore of equipment will reach the site before the end of this fiscal (FY10), he said.

"At least 11 consignments of equipment and machinery worth Rs 200 crore for the project have arrived in India," he said.