India’s Transport Minister Nitin Gadkari encouraged recyclers to build metal recycling units in industrial clusters alongside the upcoming Mumbai-Delhi highway at a webinar organised by Material Recycling Association of India (MRAI). Gadkari said his ministry is in talks with the National Highways Authority of India for the acquisition of land.
The government expects production cost for these recyclers to go down with the establishment of these industrial clusters. Gadkari states, at a time when companies are vying to move out of China, Indian recyclers could seek foreign investment for such projects.
The minister suggested that recyclers could form a joint venture with the government for such a project. Each acre of land would cost around Rs1-1.5mn ($13,222-$19,833), lower than what it could cost elsewhere, added the minister. Gadkari also emphasised that power, water and other requisite facilities would be provided by the government. The areas would also be well-connected to railways providing logistical advantages.
An Rs1,000bn project by the government to build a national highway between Mumbai and Delhi is already underway. If implemented, Gadkari’s proposal to build smart cities and industrial clusters along the highway could drive metal demand in the long term.