Andhra Pradesh has approved the allotment of 93.43 acres of land 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 is expected to strengthen the state's ferro alloys and steel ecosystem while generating significant employment and value addition.
Key Highlights
- Investment: ₹1,200 crore
- Land Allotted: 93.43 acres at Bobbili Growth Centre, Vizianagaram
- Expected Employment: 813 direct jobs
- Major Facilities: Manganese sinter plant, DRI plant, carbon paste plant and 115 MW captive power plant
- Annual Production Capacity:
- 0.5 million tonnes of manganese sinter
- 330,000 tonnes of Direct Reduced Iron (DRI)
- 60,000 tonnes of carbon paste
- Objective: Strengthen Andhra Pradesh's integrated steel and ferro alloys manufacturing ecosystem.
Andhra Pradesh Strengthens Its Position as a Steel and Ferro Alloys Hub
The Andhra Pradesh government has cleared the allotment of 93.43 acres to Berry Alloys Ltd. for establishing a ₹1,200 crore integrated manganese and steel materials complex at the Bobbili Growth Centre in Vizianagaram district. The project marks another significant investment in the state's rapidly expanding metals sector and reflects its ambition to emerge as one of India's leading steel and ferro alloys manufacturing destinations.
The proposed facility will integrate multiple downstream operations, enabling the company to manufacture value added steelmaking inputs instead of supplying only raw materials. By creating an integrated production ecosystem, the project is expected to improve operational efficiencies, reduce logistics costs and strengthen domestic availability of critical steelmaking raw materials.
Integrated Manufacturing to Support India's Growing Steel Demand
The upcoming complex will include a 0.5 million tonne manganese sinter plant, a 330,000 tonne Direct Reduced Iron (DRI) facility, a 60,000 tonne carbon paste plant and a 115 MW captive power plant. These facilities are designed to support the complete steelmaking value chain while ensuring reliable energy availability for operations.
The investment comes at a time when India is targeting 300 million tonnes of annual steelmaking capacity by 2030under the National Steel Policy. As steel production expands, demand for manganese based ferro alloys and DRI is expected to increase substantially, making integrated projects such as this strategically important for the country's steel industry.
Boost for the Ferro Alloys Industry
Berry Alloys is an established producer of ferro manganese, silico manganese and other specialised ferro alloys, supplying both domestic and international steelmakers. The company already operates manufacturing facilities in Vizianagaram and exports to markets across Asia, Europe, North America and the Middle East, leveraging Andhra Pradesh's port connectivity.
The expansion reinforces the growing importance of ferro alloys in India's steel growth story. Manganese based alloys remain indispensable for producing construction steel, automotive steel, railway tracks, engineering products and defence-grade steel. With steelmakers increasingly adopting cleaner steelmaking routes such as DRI, demand for high quality manganese inputs is expected to remain robust in the coming years.
Market Impact
The project is a positive development for India's ferro alloys and steel sectors. New integrated manufacturing capacity will create additional demand for manganese ore, logistics, engineering services and supporting industries while improving the domestic supply of critical steelmaking materials.
For silico manganese and ferro manganese producers, the investment signals continued confidence in India's long term steel demand outlook. The project is also expected to strengthen Andhra Pradesh's position as a preferred destination for future investments across mining, ferro alloys and downstream steel manufacturing.
Outlook
Berry Alloys' ₹1,200 crore investment reflects the increasing focus on integrated manufacturing and value addition within India's steel sector. Supported by abundant mineral resources, strong port infrastructure and proactive industrial policies, Andhra Pradesh is steadily building a comprehensive steel ecosystem that spans raw materials, ferro alloys, DRI and downstream manufacturing. As India's steel capacity expands over the next decade, projects such as this are expected to play an important role in securing the country's raw material supply chain and enhancing global competitiveness.