Amaravati, May 6 (TNT): Andhra Pradesh Chief Minister N. Chandrababu Naidu has directed officials to formulate a comprehensive action plan to fully utilise the vast iron ore reserves in Andhra Pradesh and transform them into a major source of revenue generation and employment creation.
During a review meeting on the Mines Department held at the camp office here on Tuesday, Naidu said the state possesses nearly 1,938 million tonnes of iron ore reserves, offering significant potential for economic growth.
He noted that ArcelorMittal Nippon Steel India is setting up a steel plant with a capacity of 17.8 million tonnes, while JSW Steel is planning another major steel plant in the Rayalaseema region.
By 2035, the combined production capacity of these plants is expected to exceed 20 million tonnes annually.
In this context, Naidu instructed officials to prepare a roadmap to enhance steel production capacity in the state. Referring to the 17 identified iron ore blocks, he directed officials to allocate the remaining unassigned blocks to suitable companies to accelerate development activities.
The Chief Minister set a target of producing 30 million tonnes of steel annually by 2030 and 113 million tonnes per annum by 2035.
Observing that iron ore consumption is likely to increase fourfold in the coming years, he said Andhra Pradesh has a strong opportunity to emerge as a major steel hub in the country.
He stated that the sector has the potential to attract investments worth Rs 1.90 lakh crore and generate employment for around 1.52 lakh people.
Officials informed the Chief Minister that the Mines Department achieved 108 per cent of its revenue target during 2025-26 by generating Rs 3,416 crore, registering a 32 per cent increase over the previous year.
They said the growth rate was higher than that recorded by major mineral-rich states such as Odisha, Karnataka, Chhattisgarh, Rajasthan and Madhya Pradesh.
For the financial year 2026-27, the department has set a revenue target of Rs 4,650 crore, aiming for a 36 per cent increase over the previous year.
Minister for mines Kollu Ravindra, Government Advisor Satish Reddy, Principal Secretary (Mines) Mukesh Kumar Meena, APMDC Vice Chairman & MD Praveen Kumar and other senior officials were present
TNT KM
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