The Ministry of Steel on Friday signed 57 MoUs with a total of 27 companies under the government production-linked incentive scheme -- particularly for specialty steel.
After signing the agreements, the Union minister for steel Jyotiraditya Scindia said about Rs 30,000 crore in new investments in specialty steel in India would be generated with the help of these incentives.
"The employment that would be generated through this (PLI) will be roughly about 50,000-55,000, and it will certainly result in value addition in the steel sector which is extremely important. The steel sector is slowly moving and evolving towards the demands and needs of the downstream industries," Scindia told reporters.
The five categories of specialty steel which have been chosen in the PLI scheme are coated/plated steel products, high strength/wear resistant steel, specialty rail, alloy steel products and steel wires, and electrical steel.
Production-linked incentive (PLI) Scheme for specialty steel was approved by Union Cabinet on July 22, 2021, with a five-year financial outlay of Rs 6322 crore to promote manufacturing within the country by attracting capital investment, generating employment and promoting technology up-gradation in the steel sector.
The Scheme was notified in the official Gazette on July 27, 2021, and detailed guidelines came in October same year.
A total of 79 applications were received from 35 small and large steel-making companies, the ministry said in December 2022. (ANI)