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Long-delayed Kadapa Steel plant proposal was cleared by the State Cabinet of Andhra Pradesh on Nov 27. The foundation stone for the 1.7mn mt steel plant will be laid on Dec 26.


There is a dispute as to who will fund the project the state or union government. The feasibility studied for the plant was conducted by Steel Authority of India. The project was assured as part of the Andhra Pradesh Reorganization Act, 2014. It is not yet decided if the plant will be run by a government or a private entity. 

The Kadapa plant is assured of iron ore supply from the government-owned company National Mineral Development Corporation (NMDC). Earlier, the state had plans to secure iron ore from Obulapuram mines. 


Previously, the government of Chandrababu Naidu had allocated land for the plant and also laid foundation in December 2018. The current government led by YS Jaganmohan Reddy has identified 3,295 acres land at a different location in Jammalamadugu Mandal, Kadapa district and the foundation stone would be laid on December 26.

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