In a significant advancement for Odisha’s industrial landscape, the State government on Friday facilitated a joint venture between JSW Steel Limited and JFE Steel Corporation, bringing in an investment exceeding Rs 15,000 crore from Japan for the expansion of a steel project in Sambalpur district, officials reported. The 50:50 joint venture aims to increase the integrated steel plant of Bhushan Power & Steel Limited at Rengali from 4.5 million tonnes per annum (MTPA) to 10 MTPA, with a total investment of Rs 32,000 crore.
Chief Minister Mohan Charan Majhi, Union Minister Dharmendra Pradhan, JSW Group Chairman Sajjan Jindal, JFE Steel President Masayuki Hirose, and other dignitaries were present at the joint venture formation event. Japanese Ambassador to India Keiichi Ono and Consul General Yoshihisa Ishikawa also attended.
According to officials, JFE Steel will invest approximately Rs 15,750 crore for its 50 percent stake. The upgraded facility is expected to produce hot-rolled and cold-rolled steel, bars, wire rods, and pipes. During the event, the Chief Minister emphasized that this project represents a crucial step in Odisha’s evolution from an iron ore-producing state to a high-value steel manufacturing hub.
He reiterated the State’s ambition to achieve a steel production capacity of 100 million tonnes per annum (MTPA) by 2030, supported by resources, policy backing, and infrastructure enhancements. Additionally, he announced the formation of the Sambalpur growth corridor, which will include Rourkela, Jharsuguda, Bargarh, and Deogarh, mirroring the growth region of the State capital. This new corridor is expected to attract Rs 1 lakh crore in industrial investment and generate over 2 lakh jobs.
Later, in a post on X, Majhi expressed: “Honoured to attend the Joint Venture Establishment and Partnership Initiation Ceremony of JSW Steel Limited and JFE Steel Corporation, Japan at Sambalpur, a historic moment for Odisha and a defining chapter in India’s industrial future.”
Pradhan highlighted that the joint venture focuses on technology-driven, high-grade steelmaking and long-term industrial cooperation between India and Japan. He also noted that the company aims to enhance value-added steel production and contribute significantly to India’s industrial development. Yoshihisa Kitano, President and CEO of JFE Corporation, stated that the company is committed to bolstering value-added steel production.
JSW Steel Chairman Sajjan Jindal emphasized the firm’s execution capabilities, the strategic advantages of Odisha, and the partnership’s importance in developing value-added steel capacity and skilled employment. He also announced plans for additional investments in 10MTPA steel plants in Keonjhar and Dhenkanal. Earlier this month, Odisha had also secured investment commitments through another JSW-POSCO joint venture for steel plants in Dhenkanal and Keonjhar districts.
