FDI could be infamous for various reasons politically in Bengal but it is striving hard to revive the Industrial sector in the state. SAIL is about to sign a memorandum of agreement with Kobe Steel of Japan on Tuesday for a rs 1500 Crore project of Iron ore nuggets. The MoA states that a plant would be established in Durgapur by the Japanese Steel giant Kobe.

This event would mark the largest direct foreign investment in Bengal after the Mitsubishi Chemicals project of MCC PTA in Haldia. This is also the first project for Bengal where a MoA would be signed in Japan. The event would be headed by the Union steel minister Beni Prasad, Joint Secretary UP Singh, Steel Secretary DRS Chaudary, SAIL chairman CS Verma, and many others along with Kobe Steel's top executives. The plant is estimated to churn out 0.5 million tonnes of iron nuggets every year.

Kobe Steel is a top steel maker based in Japan and has been in the industry since 1905. With an annual turnover of Rs 1.3 lakh crores this company is also among the largest of the metal companies in the world. The reach of Kobe steel extends to numerous departments like wholesale power supply, real estate, machinery, construction machinery, electronic material, and many others.

Sources from SAIL were excited about the happening as this is only the second instance of a similar plant being setup, all over the world. The new plant is planned to be constructed close to the Alloy Steel Plant in Durgapur. This project would involve atleast one Itmk3 iron making plant. This Itmk3 technology is the state of the art development to produce highest quality iron nuggets that can be used in steel making and are the raw material in iron casting.

AW- Anil