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A steel processing unit will be set up at Settigunta area in Railway Kodur mandal of Kadapa district at a cost of Rs 1,300 crore. As part of this, beneficiation plant and pelletisation plant will be set up under the aegis of the National Mineral Development Corporation and the State Mineral Development Corporation.

Steel processing unit likely at Railway Kodur

Kadapa, April 2: A steel processing unit will be set up at Settigunta area in Railway Kodur mandal of Kadapa district at a cost of Rs 1,300 crore. As part of this, beneficiation plant and pelletisation plant will be set up under the aegis of the National Mineral Development Corporation and the State Mineral Development Corporation.

Officials of both the organisations visited Settigunta area on Thursday. They met in Tirupati on Friday and reportedly gave green signal for establishment of steel processing plant. As iron ore is abundantly available in Rajampet, Kodur, Rayachoti, Kadapa and Kamalapur areas in the district, the Central government is likely to give permission for the plant.

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A total of Rs 1,000 crore would be spent to establish beneficiation and pelletisation plants. The plant will be established in 43 acres at Settigunta near Railway Kodur. Works on the plant will begin in another two months. Officials acquired necessary la-nd for the project. Earlier, some industrialists came forward to set up steel plant at Chintakommadinne, near Kadapa. About 6,000 acres were also acquired.

Compensation was also paid to about 4,000 farmers. However, with the death of former chief minister Y.S. Rajasekhar Reddy, the companies are not evincing inte-rest to establish the plant.

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Steel processing unit is being set up due to the initiative of the union minister of state for steels, Mr A. Sai Pratap.

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