Andhra Pradesh: Berry Alloys To Invest ₹1,200 Crore In AP, Boosting State’s Steel Ambitions

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VIJAYAWADA: Andhra Pradesh has secured another major manufacturing investment with the state government approving the allotment of 93.43 acres to Berry Alloys Ltd for setting up a ₹1,200-crore integrated manganese and steel materials complex at the Bobbili Growth Centre in Vizianagaram district.

The project, expected to create 813 direct jobs, is seen as another significant step in the state’s efforts to emerge as one of India’s leading steel and metals manufacturing hubs.

The government approved the land allotment following recommendations of the state investment promotion board, offering the land at a concessional rate of ₹77.25 lakh per acre. The allotment comprises 90 acres of industrial land and 3.43 acres of adjoining land to form a contiguous project site.

The integrated complex will include a manganese sinter plant, a Direct Reduced Iron (DRI) facility, a carbon paste plant and a 115-mw captive power plant.

Once operational, it will have the capacity to produce 0.5 million tonnes of manganese sinter annually, about 3.3 lakh tonnes of DRI and 60,000 tonnes of carbon paste, creating a value-added manufacturing ecosystem rather than exporting raw minerals.

The investment comes at a time when India is preparing to significantly expand its steel production capacity under the national steel policy, which targets 300 million tonnes of annual steelmaking capacity by 2030.

The expansion is expected to drive higher demand for manganese, a key alloying element that enhances the strength, hardness and durability of steel used in construction, automobiles, railways, defence and engineering industries. Demand for high-quality manganese products is also projected to increase as steelmakers adopt cleaner DRI-based production technologies.

Berry Alloys is an established producer of ferro manganese, silico manganese and specialised ferro alloys, supplying both domestic and international steelmakers.

The company already operates manufacturing facilities in Vizianagaram district and exports its products to Asia, the Middle East, Europe and North America through Visakhapatnam Port. It is also a member of the international manganese institute.

The government noted that the project would leverage the abundant manganese reserves in north Andhra and substantially enhance the production of manganese sinter, a vital raw material for steel and alloy steel manufacturing.

Officials said the project aligns with the state’s strategy of moving up the manufacturing value chain by processing locally available mineral resources into high-value industrial products.

Berry Alloys joins a growing list of major investments in Andhra Pradesh’s metals sector, including the proposed ₹1.36 lakh crore ArcelorMittal Nippon Steel integrated steel plant at Anakapalle. The state is rapidly building an ecosystem encompassing ferro alloys, downstream metals, advanced materials and renewable energy, supported by rich mineral resources, deep-water ports, efficient logistics and investor-friendly industrial policies.

The government has also directed Berry Alloys and its supplier network to register their businesses in Andhra Pradesh to ensure the development of a broader industrial ecosystem and enable GST revenues generated from the project to accrue to the state.

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