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Orissa set to announce new sugar policy

Sugarcane Comments Off on Orissa set to announce new sugar policy

Financial express reports that Orissa Govt. will formulate a sugar policy soon. Excerpts:

“The state will soon announce a policy for sugar industries and cane growers”, said state agriculture director, Arabinda Padhi. “We are, in fact, working on formulating the policy “ he added.

Only last week, the Federation of Sugar Industries, in a memorandum to the state government, had demanded that the government come out with a policy to promote sugar mills and cane farming. According to the federation, there is a huge potential to not only make the state self-sufficient in sugar production but also exports. Pointing out that 12.5% value-added tax on cane, the highest in the country, was killing sugar mills in the state, the federation demanded that Vat rates be immediately rationalised. It said at least 15 crore farm labour days could be created in the cane sector in the state.

Rural boost to Posco plans

INDUSTRY and INFRASTRUCTURE, Iron Ore, Jagatsinghpur, Land acquisition, Mining royalty, Paradip - Jatadhari - Kujanga, POSCO, PPP, R & R, Steel Comments Off on Rural boost to Posco plans

Business standard reports that Posco near Paradip in Orissa has received a major boost with people of two grampachayats, out of three panchayats affected by the project, writing to the district collector pledging their support to the project. Excerpts:

For its steel project, Posco had sought 4,004 acres of land spreading over three panchayats — Nuagoan, Gada Kujanga and Dhinkia. Of the total land, 3,566 acres are government land while the remaining 438 acres are privately owned.

However, the company was unable to acquire land due to stiff opposition by the local people to the project even after lapse of two years of signing of a memorandum of understanding (MoU) with the Orissa government in June 2005 and issue of 4/1 notification for land acquisition in May 2006.

The recent submission by the village committees of Nuagaon and Gada Kujanga to the Jagatsinghpur district collector, pledging their support to the project, has brightened up the prospect of its establishment, pointed out an official of the district administration.

The two panchayats account for 238 acres, out of 438 acres of private land slated to be acquired for the project. Similarly, of the 471 families likely to be displaced by the project, 275 families belong to these panchayats.

Further boosting up the company’s moral 40 betel vine owners, who are among the most affected villagers, have recently surrendered their betel vines and accepted compensation while 250-300 others are waiting to surrender their vines.

In their letters, the respective village committees have expressed their willingness to part with land for the project and offered their participation in the peripheral development work to be undertaken by the government, the sources added.

However, the Dhinkia panchayat, which is the nerve centre of anti-Posco movement, is yet to reconcile though fissures have appeared in stitching up a united front by the people of this panchayat against the company. Seventy-two families from Patna village under Dhinkia gram panchayat have offered their land to the project.

Similarly, the people of Gobindpur village under this gram panchayat pledged their support to the project in September 2007, and invited the district collector to visit them to discussion on land acquisition and compensation packages.

The growing support for the Posco plant was further demonstrated when over 5,000 people attended a rally and public meeting under the leadership of local MLA and senior BJD leader Damodar Rout at Balitutha, the entry point to the troubled site on November 1.

This was the first show of strength by the pro-project groups whose support to the project was often muted by the vocal and often violent opposition mounted the anti-project brigade in the area. To counter the pro-Posco rally, the project opponents had organised a demonstration just across the Balitutha bridge. However, they were hugely outnumbered with about 1,000 people participating in it.

But the leaders of the Posco Pratirodh Sangram Samiti (PPSS), spearheading the agitation against the proposed plant, are willing to accept defeat just on the basis of this headcount.

Most of the people who participated in the pro-Posco rally were outsiders who were transported to the venue by the ruling party, says Abhaya Sahoo, the president of PPSS.

“We will continue our fight and not allow the company to set up its plant here,” he added.

This looks positive.
Just to summarize

  • GadaKujang and Nuagaon are supporting the project.
  • Some villages in Dhinkia Panchayat seem to be favouring POSCO like Patna village and Gobindpur village.
  • 5000 people supported POSCO in the rally, but , 1000 went against it.
  • 72 families from Patna village have already offered land.
  • This was the first show of strength by the pro-project groups whose support to the project was often muted by the vocal and often violent opposition mounted the anti-project brigade in the area

POSCO supporter plan all party meeting

Iron Ore, Jagatsinghpur, Mining royalty, Odisha govt. action, Paradip - Jatadhari - Kujanga, POSCO, SEZs, Value Addition Comments Off on POSCO supporter plan all party meeting

Pioneer reports that Ersama MLA and former Minister Damodar Rout on Sunday has initiated a joint political move in favour of the Posco project proposed near Paradip in his constituency.


“Under no particular party’s banner, political leaders met in Jagatsinghpur to chart out a strategy for a show of strength with a slogan Aage maati pare party, literally meaning land first, party later. Presiding over the meeting, Rout harped on the fact that 85 per cent people in Kujang tehsil, where the South Korean steel major wants to set up its greenfield project, were supporting the 12-million-tonne per annum plant. As they are not united, their voice is cowed down by a handful of agitators. Rout sought to prove the point that the anti-Posco brigade was a minority group making tall claims. It was decided to organise a mass meeting on Tuesday at Balitutha, which leaders cutting across party lines would address. Rout’s move follows Chief Minister Naveen Patnaik’s instructions to him to extend his support for the Posco project in his constituency.

Rout, in his turn, has asked the Jagatsinghpur district authorities to help in smooth conduct of the Tuesday meeting, to which Collector Pramod Kumar Mehrada and SP RP Singh have reportedly agreed.

More than 60 representatives from various political parties participated in the deliberations on Sunday. A few of them suggested to organise the mass meeting at a later stage, but Rout said, “Strike the iron when it is hot.”

A section of political observers, however, feels that there may be a scuffle between the anti- and pro-Posco supporters on the day”

POSCO prospects improve with Local meetings.

Coal, INDUSTRY and INFRASTRUCTURE, Iron Ore, Jagatsinghpur, Land acquisition, Metals and alloys, Odisha govt. action, Paradip - Jatadhari - Kujanga, POSCO, Steel Comments Off on POSCO prospects improve with Local meetings.

Daily Pioneer reporter Kahnu Nanda reports that situation is turning in favour of POSCO in the Kujang Block. The Article is reproduced below:

“Days after Chief Minister Naveen Patnaik asserted that the mega greenfield steel plant by South Korean steel major Posco will be established at Kujang and that construction work would start from April 1, 2008, Posco has reiterated its commitment to the project.

An overwhelming section of people living in the proposed project site areas, including representatives of several political parties, social activists and local senior citizens, are moving fast to garner support for the project’s implementation.

Reports indicate that several meetings and campaigning has been held in project site at village level in the past week in a bid to woo the locals in the project’s favour.

Different project sympathisers have been organising these pro-Posco meetings and Ersama MLA and former Minister Damodar Rout has proposed to organise a mass public meeting in Balitutha Hat on October 27 just at a stone’s throw distance from the project opponents’ road block over Balitutha Bridge since September 24.

Sources said that a pro- Posco meeting was organised under the leadership of former PS member Jiban Lal Behera and the meeting was attended by most of habitants and discussed the Posco issues at length.

The senior villagers, attending the meeting too opined setting up of the project and unanimously resolve requesting the Posco authorities to reopen its closed Kujang office immediately.

Meanwhile, Ranjan Das a social activist and native of Polang, an affected village for the project, arranged a meeting in village on Tuesday in a move to garner support for Posco.

The Chief Minister’s endeavours to have a dialogue with project opposition groups had described a salutary effort while the villagers emphasised that the Posco authorities need to directly interact with the affected people for land acquisitions, Askhya Das, a villager revealed.

The political atmosphere in the project sites of Gadakujang, Dhinkia, Nuagaon, Chatua, Balitutha and Bamadeipur villages saw a startling incident on Tuesday when one Dhruba Charana Muduli, a social activist had called an all party meeting in Gadakujanga to discuss the Posco stalemate.

The meeting was attended by most of the members of different political parties of the locality excluding Leftists.

In the meeting a decision was taken to form an all party co ordination committee taking members from different political parties to hold dialogue with the State Government, the district administration and the Posco authorities to sort out the project obstacles, informed a member of a major political party.

Meanwhile, sources said that a similar type of meeting had been organised in Govindpur village under the leadership of Nirvay Samantray and project sympathiser Tamil Pradhan had conducted a meting in his Nuagaon village on Wednesday.

However, reports said that most of Posco supported leaders at the proposed project site villages have been organising meetings and campaigning to bring a pro attitude since the Chief Minister and Posco agreed for the project inception last week.

Ersama legislator Damodar Rout ,who was keeping distance from Posco related issues earlier has started organising mass contact campaigning with a message against anti -Posco sentiments in project site villages.

However, Posco Pratirodh Sangram Samiti (PPSS) who is spearheading the anti-Posco movement since one year vowed to oppose the project tooth to nail and refused to act on the Chief Minister’s desire of a dialogue.

According to them the project would wipe out 11 villages and affect around 20,000 habitants therefore no industry should not be set up at the cost of agricultural lands that threatens to take away the livelihood of people.

Abhaya Sahoo, PPSS chairman slammed the State Government for being insensible towards the affected locals, and also threatened of not giving one inch of land for the Posco project. He blamed the local leaders for organising pro Posco meetings in their areas under the influence and getting financial supports from Posco.”

Gopalpur port expansion on Schedule

Berhampur- Gopalpur- Chhatrapur, CORRIDORS, Ganjam, Ports and waterways, Shipyard Comments Off on Gopalpur port expansion on Schedule

New Indian express reports that Orissa Stevedores Ltd (OSL) started the renovation of Gopalpur Minor Port and its expansion into an all weather port. Excerpts:

“This seasonal port work which was earlier managed by the State Government was entrusted to OSL last year to be developed into a full fledged, all weather port by OSL, on a build own operate share transfer (BOOST) basis for a concession period of 30 years.While the minor Gopalpur port was spread over 282.755 acres the planned all weather port will come up on 513.786 acres. As per the notification by the State Government the district administration has already initiated measures to hand over land to OSL besides leasing out some stone quarries.

As per the initial plans, the port would be developed in two phases at Rs 720 crore. The first phase of the project would involve upgradation and rehabilitation of the existing minor port at Rs 20 crore.

Phase II involves an investment of Rs 700 crore for the development of the port into an all-weather one. On completion of 30 years, the developed port will be handed over to the State Government. However, the private operator would also have to share its gross revenue with the State Government.”

Orissa among the fiscally best performing states

ADMINISTRATION & REPs, State Ministers Comments Off on Orissa among the fiscally best performing states

Economic times reports that Orissa is among the fiscally best performing states this year. It is 3rd in the list following Haryana and Delhi. Excerpts:

When it comes to financial health Haryana, Delhi, Orissa are the best performing states in the country, while Bihar, Jharkhand and Kerala need to cut both fiscal and revenue deficits, an Assocham study has shown.

Haryana had the minimum fiscal deficit of 0.6 per cent in financial year 2006-07, though marginally up from 0.3 per cent in the previous year. Delhi was at the second spot with 0.7 per cent fiscal deficit while its revenue account showed a surplus of 3.57 per cent.

Though Orissa recorded the fiscal deficit of 1.1 per cent in FY’07, higher than 0.4 per cent in FY’06, it managed to remain well under the three per cent figure as recommended by the 12th Finance Commission. Its revenue surplus has increased from 0.76 per cent to 0.9 per cent during the same period.

Gujarat (2.5 per cent), Chhattisgarh (2.6 per cent), Tamil Nadu (2.7 per cent) and Karnataka (2.8 per cent) are the other states which have been able to keep their expenditures in the financial year 2006-07 in line with the target of 3 per cent fiscal deficit.

Infosys faces hurdles due to instability in Karnataka – Is Orissa thinking

Infosys, IT Comments Off on Infosys faces hurdles due to instability in Karnataka – Is Orissa thinking

Samachar reports that Infosys is uncertain about growth in Bangalore and Mysore. They are actively looking at alternative arrangements.

Perhaps, Orissa’s IT sector can provide an attractive proposal to Infosys. This can provide employment about 22,000 directly speaking.

New SEZ policy announced

INDUSTRY and INFRASTRUCTURE, Jagatsinghpur, Land acquisition, POSCO, R & R Comments Off on New SEZ policy announced

Rediff reports that the new SEZ policy has been announced by the Govt.


The National Policy on Rehabilitation and Resettlement, 2007, which was cleared at a meeting of the Union Cabinet chaired by Prime Minister Manmohan Singh, provides for land-for-land compensation, besides preference to affected families for jobs in projects coming up on their plots.”“The new policy seeks to make those entitled for compensation stakeholders in development by allowing them to take up to 20 per cent of the amount in the form of shares if the acquiring entity is authorised to issue these instruments.

“With prior approval of the government, this proportion can be as high as 50 per cent of the rehabilitation grant and compensation amount,” the Rural Development Ministry said.

The policy discourages speculative transactions of land acquired for public purposes. As a relief for developers, 30 per cent land can be compulsorily acquired by states for the promoters while the rest has to be bought by them.”

Reliance has welcomed this policy. It remains to be seen what implications this has on POSCO which wants SEZ status for it’s project.

Bhubaneswar Income tax collection

Bhubaneswar, Bhubaneswar- Cuttack- Puri, Taxes Comments Off on Bhubaneswar Income tax collection

Bhubaneswar has recorded an appreciable increase in income tax collections. Economic times reports that personal income tax increased by 30% this year. Excerpts:

” A similar trend was seen in Bhubaneshwar. While the corporate tax collections from this zone declined by 11.43% to Rs 584 crore, personal income tax collections grew by 29.62%.”

It must be added that corporate tax collection decreased by 11.5%. Something to analyze.

TATA MD comments on Orissa – best state for investment

Iron Ore, Jajpur, Jajpur Rd- Vyasanagar- Duburi- Kalinganagar, Kalinganagar - Tarini - Keonjhar, Kalinganagar- Chandikhol- Paradip, Kalinganagar-Bhadrakh, Steel, Tatas Comments Off on TATA MD comments on Orissa – best state for investment

Ranchi express reports that TATA M.D. B. MuthuRaman claims that Orissa is the ideal destination of investment growth among mineral rich states. Excerpts:

” Pleased with the progress of the company’s Kalinganagar (Orissa) project- especially with the approach of the Navin Patnayak government towards industrial development- Tata Steel Managing Director (MD) B.Muthuraman on Wednesday declared the mine-rich State as an ideal destination for investment growth.

“Of the three states- Jharkhand, Orissa and Chattisgarh- where we have announced Geenfield projects, Orissa a doing very well in terms of industrial development. I see the State develop immensely in the next few years,” Muthuraman said at an informal gathering at Beldih Club here.

Tata Steel is setting up a 6-MT Greenfield project in Orissa, besides Korean Steel Giant Psoco and Arcelor-Mittal have also signed MoUs with Patnaik government for setting up a 12-MT Greenfield project each. Among the three, the Tata Steel project may complete early as the company has made much headway in its mission in the last few months.”

” Pleased with the progress of the company’s Kalinganagar (Orissa) project- especially with the approach of the Navin Patnayak government towards industrial development- Tata Steel Managing Director (MD) B.Muthuraman on Wednesday declared the mine-rich State as an ideal destination for investment growth.

“Of the three states- Jharkhand, Orissa and Chattisgarh- where we have announced Geenfield projects, Orissa a doing very well in terms of industrial development. I see the State develop immensely in the next few years,” Muthuraman said at an informal gathering at Beldih Club here.

Tata Steel is setting up a 6-MT Greenfield project in Orissa, besides Korean Steel Giant Psoco and Arcelor-Mittal have also signed MoUs with Patnaik government for setting up a 12-MT Greenfield project each. Among the three, the Tata Steel project may complete early as the company has made much headway in its mission in the last few months.” This is in contrast to TATA local head B.D. Panda’s opinion a few days back , that Orissa is notthe frontline state for investment and Bengal is a preferable option.

This could also be construed a favourable response after the NDTV report talking about TATAs sitting on most high quality iron ore in Orissa.

Also, since the news item was in Jharkhand we should look at this news from a competitive perspective.

New squad formed to check mineral theft in Orissa

Metals and alloys, MINES and MINERALS, Mining royalty, THINGS ODISHA N ODIA 1 Comment »

Kalinga times reports that a new squad has been formed to check the theft of minerals from rich regions in Orissa. Excerpts:

… Orissa government has finally decided to constitute a special enforcement squad to conduct frequent raids to check theft and illegal transportation of various minerals in different parts of the State.

The decision about formation of the special squad was taken at a review meeting organised by the Steel and Mines Department of the State government here on Wednesday.

The squad, to be named State Mining Enforcement Squad, will be headed by a Mining Department official. It will also have an official of the Forest Department and 12 security personnel.

The squad will be put in place within a month, the meeting decided.

Steel and Mines Minister Padmanabha Behera who presided over the meeting has requested the Forest and Homes Departments to depute their staff for the squad.

In fact, it took the Steel and Mines Department seven months to take a formal decision on the formation of the special squad.

In a statement issued after a similar review meeting held in February this year, the Department had announced that it would constitute a squad to check smuggling of minerals.

Smuggling of minerals has been growing in the State in the recent years.

A total of 322 persons were booked by the Mines Department from April 1, 2006 to January 31 this year and fine amount of Rs 3.25 crore was collected from them.

Besides, 191 vehicles used in illegal transportation of different minerals were also seized during the period.”

I hope this does not get lost in bureaucratic hassles.

A rejoinder to PRI’s comments

Corporate Social Responsibility (CSR), INDUSTRY and INFRASTRUCTURE, IT, Land acquisition, R & R, Steel 7 Comments »

The Hindu reported today that the chief representative of PRI(Posco Research Institute) has made some adverse comments on the progress of MOUs in Orissa.

Taking excerpts mentioned in the report:

“Chief Representative of PRI Chang-ho Kwag said the social infrastructure of the State was not proper to absorb mega projects. “Attitude and mindset of State Government and people towards projects need to be changed. Education of people to understand the real cost benefit of industrial project was necessary in which the state government has a big role,” Mr. Kwag said.“West Bengal can be a good example. Why is every good project taking shape in West Bengal? I think the State Government played a key role there,” he said.

Despite being a State governed by Left parties, the State adopted itself in post-liberalisation era, the PRI Director said.

All the coastal states of India showed healthy GDP growth while Orissa lagged with 3.5 per cent rate growth compared to West Bengal’s nearly 6 per cent, he said.

“The Government needs to set up service mechanism for expediting mega projects,” Mr. Kwag said. The Posco Research Institute said Chinese government had engaged two to three of its personnel for one big project so that they could take care of different processes and ensure project getting converted into reality.

The Head of PRI must understand that Orissa is not a communist country like China. Where if requirements are provided by companies, local protests are crushed using an Iron hand and value propositions are ignored completely. Rehabilitation is a complicated process.

It is surprising to note, that , the head of PRI has mentioned that most projects are coming up in West Bengal. Do they actually think, that they would get a captive port in West bengal and also land at such cheap rates which is being provided to them in Orissa.

Also, they might actually mention which big projects are coming to West Bengal. In West Bengal land acquisition is easier since, the writ of the local communist runs in every block. Even then a Nandigram has happenned there.

Perhaps, he should see the amount if strikes that happen in West bengal. A bandh(strike) is a regular feature of life in the state. If this is considered business friendly then we have some new rules for business.

The truth of the matter is that, Orissa has been second fastest in implementation of MOUs in the country.

Let it be noted ,that , it is a combination of land and accesibility to a sea-port which makes Orissa an attractive destination.

Perhaps, the head of PRI is not aware that according to a World Bank report, Orissa is supposed to be the fastest place to start a Business among all states in India.

Perhaps, some of the statements can be reconsidered.

Oyster park in Puri

Beaches, Chilika, Ecotourism, Nature spots, Puri, Puri, TOURISM, ENTERTAINMENT and SHOPPING Comments Off on Oyster park in Puri

Pioneer reports that an oyster park will be created in Puri.


The Puri coast will soon have an international oyster development project covering about 3,000 acres of the sea beach to attract more and more tourists from abroad. 31 corporate giants and industrial houses both from India and abroad, for which the State Government received applications recently, will fund this ambitious project.Announcing this to the Press, State Tourism Minister Debi Prasad Mishra said that in addition to this, global quotations would be invited for the establishment of a new ‘Conference and Golf Tourism’ in the same belt in Puri district as the State has vast potential for such type of ventures for tourism development .

The Government has also decided to go ahead with a new project named ‘Camp Tourism’ in the vast coastline connecting Puri, Rajahansa in Chilika, Sanaparikuda and Harachandi Temple to attract tourist traffic to various spots.

For this, the Government has introduced a Mega Circuit Area Development Project to operate in the area.

The Minister further said that the Government is hopeful of at least 20 per cent increase in tourist flow to the State this year. He said special attention would be given for heritage tourism, cultural tourism, eco tourism, beach tourism, Buddhist — Jain temple tourism and tribal and rural tourism.

Dolphin Theme park in Satpada, Chilika – Orissa

Chilika, Nature spots, TOURISM, ENTERTAINMENT and SHOPPING, Tourist promotion, Wild life 1 Comment »

(a picture of Dolphins in Satapada from the Orissa government photo gallery)
Dolphins in Satpada

New Indian express reports that an ecological park will be setup in Satpada. Satpada is famous for Irrawady dolphins in the area. Following are excerpts from the New Indian Express article.

Satpada, the approach to the home of Irrawady dolphins in Chilika, will soon have a distinct feel and look about it. Almost everything about this tourist spot would now connect either to the brackish water lagoon or to its rare aquatic species.

A theme-based park and illumination based on dolphins will be the highlight of the face-lift that the State Government is planning for this tourist site.

The tourist arrival in Chilika through Satpada is on the rise – from 76,000 in 2005 to 96,000 in 2006 and the Government is keen to leverage from it.

The Centre for Environment Education (CEE), Ahmedabad, has been roped in by Chilika Development Authority (CDA) to conceptualise and design an eco-park at Satpada over a 4.5 acre land near the latter’s visiting centre.

Estimated at a budget of Rs 15 lakh, the park’s central theme will revolve around Chilika itself. “The park will give tourists a feel of the ambience of the lagoon. Special sections on avian and aquatic species of Chilika will find place in the park,” CDA Chief Executive Dr Sudarshan Panda said.

Besides, CDA has also tied up with a private sector electrical major which has designed what it terms ‘dolphin-lights’ for the first time. Panda said, the lights are designed in dolphin shape and are going to be launched at Satpada where streetlights will be installed over a stretch of 400 metres.

Apart from disseminating information about the lagoon, these measures will also put up a strong case for conservation needs of the lagoon. The Orissa Government has already banned use of polythene bags in the lagoon and CDA has been authorised to implement it.

Panda said a local development committee is also being constituted to look after maintenance of the new installations. The committee will have power to collect parking fees from tourists and maintain streetlights in days to come.”

Orissa Govt. Plans IT-enabling of Govt. services

DFID UK, E-governance, Foreign funding, Restructuring PSUs, Websites of Interest Comments Off on Orissa Govt. Plans IT-enabling of Govt. services

New Indian express reports that Orissa Govt has started The Orissa Modernising Government Initiative (OMGI) . This will be utilising IT in a more effective way. The Whole project is funded by DFID. Excerpts:

The Orissa Modernising Government Initiative (OMGI) seeks to address these and much more effectively. A State Government initiative, the project is being funded by DFID and would be completed by December 2008. It envisages rationalisation of the role of the State Government to focus on the most critical goods and services and reach out to the poor in a way that benefits them from its policies.

Besides, it aims to enhance the effectiveness, transparency and accountability with which the government performs its role.

The contours of the project was presented to Chief Secretary Ajit Kumar Tripathy by OMGI officials here on Wednesday. Its uniqueness lies in the fact that it exploits the benefits of IT to speed up delivery of public services and make them more transparent.

It also empowers the common men and gives them enough scope to ventilate their grievances to mandarins. Reengineering of the tools and procedures of the government departments would be one of its prime concerns.

Government officials can equally benefit from it. They would have access to service book, keep track of their career growth, leave sanction, transfer and posting. Each staff right down the ladder would be provided with a password.

Dissemination of government rule and procedure, citizen charter and performance data would be in vogue. Disclosure of information in a transparent manner to public on various procurements, allocations and awarding of tender would also be a reality.

Even candidates can review job posting, apply online and have access to employment news, views and service rules.

The reform measures would not be confined to the Secretariat alone. Revamping of the administration at the district-level would also be taken up. Human resource management would form a key component of the programme. Further, OMGI would intervene in other sectors like housing and urban development, health, education, industries and take up district modernisation and litigation management among others.

Govt grants environmental clearance to Posco steel plant

Corporate Social Responsibility (CSR), Iron Ore, Jagatsinghpur, Paradip - Jatadhari - Kujanga, Ports and waterways, POSCO, Steel, Value Addition Comments Off on Govt grants environmental clearance to Posco steel plant

The Hindu reports that environmental clearance has been granted to POSCO steel plant. POSCO has earmarked 1,525 crores for environmental pollution control as per the Ministry of Environment and Forests (MOEF) as well as the state government conditions. Excerpts:

“The Ministry of Environment and Forests has given the environmental clearance for Posco’s mega steel project at Kujang near Paradip in Jagatsinghpur district of Orissa,” highly-placed official sources said.The Korean steel giant had signed a Memorandum of Understanding with the Orissa government in June 2005 pledging an investment of Rs 52,000 crore for setting up the plant.

“The project authorities shall utilise Rs 1,525 crore earmarked for environmental pollution control measures judiciously to implement the conditions stipulated by the Ministry of Environment and Forests (MOEF) as well as the state government. The funds so provided shall not be diverted for any other purpose,” a source quoted the Environment and Forests Ministry as saying, while granting clearance.

The clearance has been granted to the world’s third largest steel manufacturer for installing furnaces using FINEX technology only and on the condition that gaseous emissions from its various units should strictly conform to load/mass based standards notified by the government.

Earlier in April, the MOEF had granted its approval under Coastal Regulation Zone to the Korean steel giant’s proposal to set up a captive port at Jatadhari at a cost of Rs 17,113 crore.”

AISCO, SCAN Steel tie up for production & marketing

Steel 10 Comments »

Economic times reports that Orissa based company Scan steel is tying up with Delhi based steel major ‘AISCO’ for production and marketing under brand name ‘AISCO TMT’.

Perhaps, Industries in Orissa should learn to develop their own brands. Excerpts:

‘Delhi based steel company, AISCO and Orissa based SCAN Steel Group have tied up to undertake production and marketing of Steel TMT Bars under the brand name of AISCO TMT.The Group will take on the process of reduction of iron ore, making of sponge iron and casting of billets at its fully integrated facility at Orissa.

TMT Production will be undertaken at its main rolling unit at Orissa and various other group-owned and conversion units located at various parts of the country.

According to Mr. Praveen Aggarwal, Managing Director of AISCO Group, this will help them move towards overall growth of the company and the group will provide quality material for use in construction Industry and educate the consumers about shortcomings of poor quality steel available in the market.’

Some more industries for Orissa

Auto, Coal, Indian majors, INDUSTRY and INFRASTRUCTURE, INVESTMENTS and INVESTMENT PLANS, Iron Ore, Steel Comments Off on Some more industries for Orissa

Economic times reports that Some Punjab based industries plan to invest in Orissa.
The reports state that Arti Steel has already invested 450 crore out of a total investment of 900 crores. The first step in Auto parts investment is being planned with GNA Axle.

Even Hero Honda , bicycle manufacturer plans to invest in Orissa. Hopefully, this will be the start of a trend. Excerpts:

Orissa’s rich natural resources are now luring the industries in Punjab, with the an auto parts maker and steel manufacturer committing separate investments to the tune of Rs 960 crore to the state.

While Ludhiana-based Aarti Steels had committed an investment of Rs 900 crore for setting up a half-a-million capacity steel unit in the state, Goraya-based auto parts manufacturer GNA Axle Group will invest Rs 60 crore for manufacturing axle shafts, gears for heavy vehicles.

Leading bicyle maker Hero Cycles is also quite keen on exploring the possibility of making an investment in Orissa.

“We have proposed to invest Rs 60 crore within the next four years in order to set up an auto component manufacturing unit which will cater to export as well as domestic markets,” GNA Axle Group Director Randeep Singh said.

The Orissa government has promised to make available 100 acres of freehold land to the company at a token amount of Rs 2 lakh per acre. In addition to it, the government has also offered power at a rate of Rs 2.90 per unit without excise duty.

“We set up our unit in March 2003 in Orissa after carrying out a survey. The state can offer many benefits in the shape of availability of raw material for steel producing unit like us. So far, we have invested Rs 450 crore in this project while balance will be invested soon,” said Aarti Steels Director Rajeev Mittal.

The unit is is expected to be completed next year, he added.

“In Orissa, besides getting cheap power, we will also be in a position to get raw material at a much cheaper rate as we will be nearer to the source of raw material,” reasoned Singh while adding that with this new unit, our freight cost would also get reduced significantly for supplying our finished products to domestic as export markets.

Leading bicycle company Hero Cycles is also quite keen on exploring the possibility of making an investment in Orissa. “We will certainly explore the possibility of investing in that state which is full of natural resources,” Hero Cycles, Director Vijay Munjal said.

Recently, a high powered delegation including Commissioner-cum-secretary, Department of Industries, Orissa, was in Punjab for inviting industrialists to tap the investment opportunities here.

Orissa, an emerging state of India …

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In a news item on the Singapore business summit znetasia mentions that there will be one India business summit which showcases emerging states of India. Orissa is mentioned as an emerging state in that list.

“GES 2007 will also host the Global Indian Business Summit 2007, which will focus on the country’s emerging states such as Orissa, Tamil Nadu, Rajastan and Gujarat.”

Centre will light up all villages by 2009: Sahu

Budget, Central, Central grants, Central programs, PMGY, Remote Village Electrification Programme, RGGVY, Rural electrification 1 Comment »

New Indian express reports that all villages in Orissa will be lighted up by 2009.

Excerpts of the report are as follows:

By 2008-end, all the villages in Orissa would be provided with electricity, said Union Minister of State for Rural Development Chandrasekhar Sahu.

He was launching the Rajiv Gandhi Grameen Vidyutikaran Yojana (RGGVY) for Ganjam and Gajapati districts here on Thursday. He said the implementation of RGGVY in the State had been entrusted to three organisations which would supply power to every village unconditionally.

Earlier, power was supplied to the villages with more than 300 households, but the Union Government under RGGVY has decided to supply power to all the villages irrespective of number of families, he added. While the Power Grid has been entrusted with electrifying 12 districts, NTPC will electrify an equal number of districts.

The electrification of the rest six has been entrusted to NHPC, he said and added all the below poverty line families would be supplied electricity free of cost. He said the Centre is providing 90 per cent capital subsidy and the rest 10 per cent in terms of soft loan to the State Government for implementation of the programme. The Minister said 3,162 villages in Ganjam and 1,512 villages in Gajapati would get power by 2008.

D.K.Roy, Orissa in-charge of NHPC, said his organisation has been given the task of electrifying Ganjam, Gajapati, Boudh, Puri, Rayagada and Kandhamal districts. In the six districts 4,91,520 BPL families would be provided with power at an estimated cost of Rs 660.18 crore.

He said the electrification drive would be in two packages. In the first package, 55,000 BPL families in Ganjam would be supplied power at an estimated cost of Rs Rs 52.17 crore and in the second package another 57,263 BPL families would get power at an estimated cost of Rs 46.56 crores.”

Betel cultivators’ yes to Posco steel project

Iron Ore, Jagatsinghpur, Paradip - Jatadhari - Kujanga, Ports and waterways, POSCO, Steel Comments Off on Betel cultivators’ yes to Posco steel project

Business standard reports that some of the betel cultivators have accepted POSCO’s compensation for these Betel farms.

Also, It must be noted, that these Betel cultivation was being done in Govt. enroached land. Currently out of 4004 acres required by POSCO, 3567 acres is Govt. land and 438 acres is pvt. land.


In a major breakthrough in the imbroglio over land acquisition for Posco’s 12-million-tonne steel project near Paradip in Orissa, betel cultivators at Nuagaon village, within the project site, have dismantled their vineyards in lieu of compensation.

According to sources, four betel farm owners have accepted compensation to the tune of Rs 4.8 lakh, while 20 more who had surrendered their claim on betel vineyards are expected to be paid around Rs 15 lakh in a couple of days.

The farmers are being paid according to the rate fixed by the state government. Company sources said they had received about 200 applications from local farmers for payment of compensation for the surrender of their claim.

These were being verified and would be cleared in a phased manner, they added.

It may be noted that betel leaves are mostly cultivated over encroached government land in the proposed Posco plant area. There are about 1,600 betel farms in Nuagaon alone.

Posco required for its plant 4004 acres of land in three grampanchayats, namely Dhinkia, Nuagaon and Gada Kujanga. Of this, 3567 acres is government land and 437 acres is private land. Most of the government land, however, is encroached upon by betel cultivators.

It may be noted that about 3,000 people working at the betel farms in Gadakujanga, Dhinkia and Nuagaon are among the most vocal opponents of the project as they fear loss of employment.

They have become soft targets for anti-Posco agitators. Keeping this in mind, the state government is framing a separate package for these workers, in addition to the existing rehabilitation and resettlement (R&R) policy formulated last year.

According to state Chief Secretary Ajit Tripathy, the stalemate over land acquisition is gradually giving way and people in the site area are coming out in support of the project.

Work on Orissa project may start by 2008: Mittal

Arcelor Mittal, INVESTMENTS and INVESTMENT PLANS, Iron Ore, KBK Plus district cluster, Keonjhar, Steel Comments Off on Work on Orissa project may start by 2008: Mittal

Economic times reports that Mittal is more postive of the progress in Orissa for it’s steel plant.


BHUBANESWAR: Arcelor-Mittal group CEO L N Mittal expressed his preference for the company’s proposed mega steel plant in Orissa over the one planned in Jharkhand, even as the Orissa government committed itself to provide requisite land and raw material for the greenfield project.If things go as planned, Mittal even indicated to CM Naveen Patnaik and senior government functionaries that the world’s largest steel company is keen to start leg work in January 2008.

“We are very happy with the pace of progress in Orissa. We would certainly prefer Orissa to Jharkhand considering the progress,” Mittal said, emerging from a 150-minute meeting with the CM and his team.

“We are all working hard towards starting the project as fast as possible,” he told reporters, without mentioning any deadline. The steel moghul said he was “very happy” with the way things have moved ever since the company signed an MoU with the state government in December 2006 for a 12 million tonne per annum steel plant in Keonjhar district.

“The Dastur co is preparing the detailed project report and it should be ready by mid-2008,” he said.

On the mines linkage, Mittal, who was accompanied by his son Aditya and Mittal-India CEO Sanak Mishra, said after the “very detailed discussions” with the CM, he was “very confident” about getting required access to mines. He added that he was “very optimistic” about effectively tackling rehabilitation and resettlement issues.

According to official sources, the steel monarch requested the state government to acquire at least a part of the 8,000-acre land earmarked for the project, especially the encroachment-free government land, so that the company could begin some “work on the ground early next year”. Mittal, the sources said, sought to know about the mining linkage and the government assured him full support without committing any specific mines.

Bhubaneswar among the potential cities for flights between India and Malyasia

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People Daily online reports that a MOU was signed for improving tourism across multiple tourist desitinations in India and Malyasia.

Bhubaneswar was listed as one of the potential destinations for flight connectivity. This might in Future lead to International flights in Bhubaneswar airport.


“It was further decided that the designated airlines of both sides could operate any number of services to/from 18 tourist destinations in India: Patna, Lucknow, Guwahati, Gaya, Varanasi, Bhubaneswar, Khajuraho, Aurangabad, Goa, Jaipur, Port Blair, Kochi, Thiruvananthapuram Kozhikode, Amritsar, Visakhapatnam, Ahmedabad and Tiruchirapalli.”