Buddadheb to lay foundation for the Purulia project on February 17
Project to be implemented in phases
Government to provide land from steel park
KOLKATA: Even as it gets ready to launch its greenfield project in West Bengal, Shyam Steel Industries has reworked its projects, delaying one and deciding to produce only for captive consumption in another, in view of the present recessionary market conditions.
The company had proposed to set up two greenfield steel projects in Raghunathpur in Purulia district and in Kharagpur in Paschim Mednipur district in West Bengal for creating a total capacity of 1.7 million tonnes annually.
However, it has now decided to delay the Kharagpur project and implement the Purulia project in an innovative manner which allows it to act as a captive source for feeding Shyam Steel’s mother unit in Durgapur. “We will implement the Kharagpur project once the market improves, say after a year. We will also enter the commercial steel market with our products from the Purulia project once the steel cycle improves,” Lalit Beriwala, Director, Shyam Steel, said at a press meet. Mr. Beriwala said the foundation for the Purulia project would be laid by West Bengal Chief Minister Buddhadeb Bhattacharjee on February 17. This project, which entailed an investment of Rs. 3,600 crore and would now be implemented in phases. The company said 100 acres (out of a total requirement of 1,200 acres) had already been purchased privately and 150 acres more would be bought in this manner by March, when the remaining land acquisition would be completed. The government would provide land from its steel park which is proposed to be set up there.