Punjab Strengthens Steel Industry with Rs 5,400 Crore Investments in Key Clusters
The state has two major steel clusters, located in Mandi Gobindgarh and Ludhiana.
Punjab Strengthens Steel Industry with Rs 5,400 Crore Investments in Key Clusters
Punjab attracted over Rs 5,400 crore in investments in the steel sector over the past year, strengthening its position as an emerging steel hub in North India.
Industry experts and the state government said the increase is due to Punjab’s proximity to high-demand markets and supportive policy measures. The state has two major steel clusters, located in Mandi Gobindgarh and Ludhiana.
Mandi Gobindgarh has around 300 units, including furnaces and rolling mills, contributing significantly to India’s secondary steel market. Ludhiana, known for its textile, auto parts, bicycle, and hand tool industries, has strong downstream demand for steel.
Major investments include JSW Steel’s Rs 1,500 crore plant at Rajpura, Tata Steel’s Rs 2,600 crore unit in Ludhiana, Vardhman Special Steels investing Rs 342 crore in Ludhiana, and AISRM Multimetals Private Limited announcing Rs 1,003.57 crore at Jaspallon village.
Mahinder Pal Gupta, president of the Furnace Association in Mandi Gobindgarh, noted a shift towards green and speciality steel, with scrap-based production increasing due to the availability of recyclable metal.
Industry and Investment Promotion Minister Sanjeev Arora highlighted rising demand for speciality and auto-grade steel, competitive power tariffs, and single-window clearances as factors attracting investors. He also pointed out that the global focus on decarbonisation has encouraged scrap-based steel production in Punjab.
Arora added that rising demand for speciality and alloy steel in automobile and engineering clusters, along with progressive industrial policies and investor facilitation, is drawing more steel producers to the state.
Source: The Tribune