Visakhapatnam, March 23 (IANS) Prime Minister Narendra Modi on Monday hailed ArcelorMittal Nippon Steel (AMNS) India’s mega integrated steel plant as a major milestone in Andhra Pradesh’s development journey and said that it will create opportunities for youth and position the state as a hub of industrial innovation.

Responding to the foundation stone laying of India’s largest greenfield steel plant at Nakkapalli in Anakapalli district on Monday, Prime Minister Narendra Modi described the project as a “world-class integrated steel plant that will further strengthen India’s steelmaking capabilities.

“I congratulate Andhra Pradesh on this important milestone. The launch of this project marks the beginning of a world-class integrated steel plant that will further strengthen India’s steelmaking capabilities. It is a major milestone in Andhra Pradesh’s development journey and creates opportunities for its youth and positions the state at the forefront of industrial innovation. It will also strengthen India’s position as a global steel manufacturing leader,” a release from the government of Andhra Pradesh quoted Prime Minister Narendra Modi as saying.

The project, with a total proposed investment of Rs 1.35 lakh crore, will be executed in phases, with the first phase involving Rs 70,000 crore to establish an 8.2 million tonnes per annum capacity.

The facility is expected to commence production by the first quarter of 2029.

The foundation-laying ceremony was attended by Union Steel and Heavy Industries Minister H. D. Kumaraswamy, Chief Minister N. Chandrababu Naidu, Deputy Chief Minister Pawan Kalyan, and IT Minister Nara Lokesh, along with steel industry leaders Lakshmi Mittal and Aditya Mittal.

Kumaraswamy noted that projects of this scale are critical for India’s long-term steel capacity goals. He said the collaboration brings together “global expertise and domestic ambition” and will contribute to the modernisation of India’s steel ecosystem.

CM Chandrababu Naidu reinforced the state’s investment narrative and said, “This project is another strong example of Andhra Pradesh’s status as a preferred investment destination and a reflection of strengthening global business confidence in our state. The Andhra Pradesh government is fully committed to supporting ArcelorMittal Nippon Steel India in realising this investment that will drive growth, create jobs, and strengthen the state’s role in India’s industrial future.”

The plant is expected to generate around 1 lakh direct and indirect employment opportunities, providing a significant boost to livelihoods and regional economic growth.

ArcelorMittal Executive Chairman Lakshmi Mittal stated that the event marks the next chapter in their partnership with India, one built on shared ambition and enduring trust. “I have been in the steel industry now for fifty years, and I can honestly say that what we are building here in India is one of the highlights of these 50 years. It means a lot to me that we can contribute so meaningfully towards India’s journey toward Viksit Bharat, demonstrating how world-class steelmaking can power sustainable growth and national self-reliance.”

Chairman of ArcelorMittal Nippon Steel India and CEO of ArcelorMittal thanked the Government of Andhra Pradesh as well as the Government of India for their steadfast support in bringing this project to life.

“Steel is the fabric of life, and we are proud to have the opportunity to contribute to expanding India’s steel capabilities with this amazing new plant, which will be one of the most competitive, modern facilities in the country. Its coastal position and the fact that it can easily be connected to the richest iron-ore belt in the country through our existing slurry pipeline make this an excellent place to manufacture steel,” he said.

Minister Nara Lokesh described the project as more than an industrial investment, calling it a symbol of strength, resilience, and trust in Andhra Pradesh’s capabilities.

On the occasion, ArcelorMittal Nippon Steel India also signed two landmark Memorandums of Understanding (MoUs) with the Government of Andhra Pradesh.

The purpose of the MoUs is for ArcelorMittal Nippon Steel India to build, along with the New Age Makers' Institute of Technology (NAMTECH), a future-ready industrial talent ecosystem in Andhra Pradesh by connecting advanced technology, materials innovation, education, and workforce development with the needs of modern industries.

NAMTECH is a not-for-profit education and skilling initiative of ArcelorMittal Nippon Steel India.

--IANS

ms/uk