JSW Steel Begins Work On ₹4,500-Cr Rayalaseema Integrated Steel Plant

CW Bureau ·

JSW Steel Ltd has commenced work on its ₹16,350-crore integrated steel project in the Rayalaseema region of Andhra Pradesh.

The project will be implemented by JSW Rayalaseema Steel Ltd, a wholly-owned subsidiary of JSW Steel, in two phases with a total capacity of 2 million tonnes per annum (MTPA).

Investment plan

The first phase involves setting up a 1-MTPA integrated steel plant at an investment of ₹4,500 crore to manufacture low-carbon emission steel products.

The second phase will involve an additional investment of up to ₹11,850 crore, doubling the plant’s capacity to 2 MTPA and taking the total project cost to ₹16,350 crore.

Sustainable steelmaking

The project will use advanced Electric Arc Furnace (EAF) technology with recycled steel scrap and high-grade Direct Reduced Iron (DRI) as key raw materials to manufacture state-of-the-art structural steel.

Designed as a future-ready steel manufacturing complex, the facility will focus on operational efficiency, resource optimisation and the production of low-carbon structural steel for domestic and global markets.

Management comments

JSW Group Chairman and Managing Director Sajjan Jindal, said: “The new project reflects JSW’s confidence in Andhra Pradesh’s long-term industrial and economic potential. We will contribute towards building globally competitive industrial capabilities in the region.”

JSW Steel Joint Managing Director and CEO Jayant Acharya said: “The project aligns with our long-term strategy of building future-ready manufacturing assets while supporting regional industrial development.”

Decarbonisation roadmap

The project forms part of JSW Steel’s long-term sustainability and decarbonisation strategy. By combining energy-efficient processes, increased use of recycled inputs and greater integration of renewable energy, the company aims to reduce the carbon intensity of steel production.

The facility is expected to be among JSW Steel’s most sustainable steelmaking plants and will help meet India’s growing demand for steel while supporting responsible manufacturing.