THEBUSINESSBYTES
BUREAU
MUMBAI,
OCTOBER 5, 2026
Shyam Metalics &
Energy Ltd on Monday announced a ₹50,000-crore investment plan to set up a 9 million tonnes
per annum (MTPA) integrated steel complex in Maharashtra's Chandrapur district,
in what is expected to be one of the largest single
industrial investments in the Vidarbha region.
The company signed a
memorandum of understanding (MoU) with the Maharashtra government for the
proposed greenfield project, which is expected to create around 10,000 direct
and 20,000 indirect employment opportunities and provide a major boost to
industrial activity in the region.
The agreement was
signed in Mumbai by P Anbalagan, Principal Secretary (Industries, Investment
& Services), Government of Maharashtra, and Brij Bhushan Agarwal, Chairman
and Managing Director of Shyam Metalics and Energy Ltd.
The proposed
integrated steel complex will be developed in two phases, with the first phase
envisaging 3.75 MTPA of finished steel capacity and the second phase adding
another 5.25 MTPA.
The project will
encompass the entire steel manufacturing chain, including pelletisation,
sintering, coke making, ironmaking through blast furnace and direct reduced
iron (DRI) routes, steel melting, continuous casting and downstream rolling and
finishing facilities.
The company said the
location in Chandrapur offers strategic advantages due to its proximity to iron
ore reserves in Gadchiroli, coal resources in the Chandrapur mining belt and
minerals such as limestone and dolomite. The region is also supported by rail,
road and power infrastructure.
The facility is
expected to manufacture high-quality, value-added steel for sectors including
infrastructure, construction, automobiles, railways, renewable energy, oil and
gas and heavy engineering.
By increasing
domestic availability of such products, the project is also expected to support
India's efforts to strengthen its steel supply chain and reduce dependence on
imports.
Beyond the core steel
facility, the investment is likely to generate significant opportunities for
micro, small and medium enterprises, fabrication units, engineering workshops
and transport and logistics companies in Vidarbha, the company said.
The project is also
planned with a focus on resource efficiency and environmental sustainability.
The proposed complex will deploy technologies such as waste heat recovery for
power generation, coke dry quenching for energy and water conservation,
closed-loop water treatment systems and advanced pollution-control
infrastructure.
"The project
will accelerate regional industrialisation, unlock extensive forward and
backward linkages for local MSMEs, and generate large-scale employment for the
region's youth," Anbalagan said.
Agarwal said the
project would be a "pivotal milestone" in Shyam Metalics' long-term
growth strategy and contribute to nation-building by creating a large
integrated steel manufacturing hub.
"With an
investment of ₹50,000
crore, our vision goes beyond creating 9 MTPA of high-grade, value-added steel
capacity. We are building an ultra-modern facility anchored in
cutting-edge circular technology, resource efficiency, and green
practices," he said.
The company said it
would begin obtaining the necessary permissions, registrations, approvals and
clearances during FY 2026-27 for execution of the project.
The mega investment
comes as Maharashtra seeks to deepen its manufacturing base and attract
large-scale industrial projects, while the proposed steel complex could emerge
as a key anchor for the development of a wider industrial ecosystem in Vidarbha.
