Steel Ministry signs around 57 MoUs to generate Rs 29000 cr investment under PLI Scheme

Under the Production Linked Incentive Scheme for Specialty Steel, around 57 MoUs have been executed for generating an investment of Rs 29,000 crore with an additional capacity of 25 MT for producing speciality steel grades and generating employment to about 17,000 people by FY28.

Considering the current status of the PLI Scheme for Specialty Steel, it is observed that as of December 2023 end, the selected companies have already invested about Rs 12,900 crore against an investment commitment of Rs 21,000 crores up to the ongoing financial year. While next investment of Rs 3,000 crore will be invested by these companies in FY24. The Ministry of Steel envisages an investment of Rs 10,000 crore in FY 25.

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5 units have begun production while 9 more units are expected to begin production in this quarter. The Ministry of Steel along with other relevant government departments, has been proactively engaging with PLI beneficiaries and measures have been taken to expedite clearances for projects, issue standard operating procedures for Indian visas for experts, and address the concerns of the participating companies by continuous engagement with the stakeholders.

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In view of the above and the significant growth of the economy, especially infrastructure, the demand for specialty steel would continue to show strong acceleration and PLI MoU holders would make up for the shortfall in investment. The Ministry of Steel is confident that the scheme will achieve its desired  objectives notwithstanding the temporary setbacks.

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