Indian government proposes steel shipping container manufacturing hub in Gujarat

Monday, 12 April 2021 12:23:13 (GMT+3)   |   Kolkata
       

To tap into rising demand and the absence of local manufacturing capacity, the Indian government has drawn up plans to set up a shipping steel container manufacturing hub in the western state of Gujarat, a government official said on Monday, April 12.

The official said that the government has already started a pilot project for manufacturing such steel containers which would be a model for private investors to set up projects in the hub with the government projecting total investments to the tune of $135 million to ride on such container manufacturing units in the region.

It was pointed out that, not only is there a global shortage of steel containers, but India does not have any domestic manufacturing capacity and is entirely dependent on China for its container requirements which, according to the government, are estimated at 350,000 units per year.

The official said that rerolling mills and furnaces in and around Gujarat are being encouraged to increase capacity to meet raw material requirements for the proposed container manufacturing units.

The government is also in talks with global steel companies, including ArcelorMittal, for supplies of special grades of steel required for manufacturing containers.

Domestic steel major Jindal Steel and Power Limited (JSPL) is also exploring the possibilities of setting up a steel container manufacturing unit in collaboration with Paradip Port Trust in the eastern state of Odisha.


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