The Hindu reports: Andhra Pradesh Chief Minister N. Chandrababu Naidu on Tuesday (May 5, 2026) directed the officials to prepare a comprehensive action plan to fully utilise the State’s vast iron ore reserves, saying that the asset is capable of driving revenue growth and large-scale employment generation.He stated that the mining and steel sectors could attract investments worth ₹1.90 lakh crore and generate employment for around 1.52 lakh people.Reviewing the performance of the Mines Department at his camp office, Mr. Naidu emphasised that Andhra Pradesh holds approximately 1,938 million tonnes of iron ore reserves, offering a significant opportunity to boost industrial development.రాష్ట్రానికి ఆదాయం, యువతకు ఉపాధి కల్పించే విధంగా రాష్ట్రంలోని ఇనుప ఖనిజ నిక్షేపాలను వినియోగించాలని గౌరవ ముఖ్యమంత్రి శ్రీ నారా చంద్రబాబునాయుడు అధికారులను ఆదేశించారు.
ఆర్సెలార్ మిట్టల్ నిప్పాన్ ఇండియా సంస్థ 17.8 మెట్రిక్ టన్నుల సామర్థ్యంతో నక్కపల్లి వద్ద ఉక్కు కర్మాగారం ఏర్పాటు… pic.twitter.com/5XcvXbqsuc— CMO Andhra Pradesh (@AndhraPradeshCM) May 5, 2026He instructed officials to ensure optimal utilisation of these resources to transform the State into a major steel production hub.Mr. Naidu noted that leading companies such as ArcelorMittal Nippon Steel India are setting up a steel plant with a capacity of 17.8 million tonnes, while JSW Steel is also planning a major facility in Rayalaseema region.“By 2035, the combined annual steel production capacity of the State is expected to exceed 20 million tonnes,” Mr.
Background
Naidu asked officials to formulate a roadmap to enhance steel production capacity. He directed that out of the 17 identified iron ore blocks in the State, the unallocated blocks should be assigned to suitable companies at the earliest. Chief Minister Chandrababu Naidu unveils NABARD credit plan of ₹5.11 lakh crore for 2026–27 fiscalMr.
Key facts
- Naidu asked officials to formulate a roadmap to enhance steel production capacity.
- He directed that out of the 17 identified iron ore blocks in the State, the unallocated blocks should be assigned to suitable companies at the earliest.
- Chief Minister Chandrababu Naidu unveils NABARD credit plan of ₹5.11 lakh crore for 2026–27 fiscalMr.
What this means
Naidu said the State should aim to produce 30 million tonnes of iron ore annually by 2030 and scale it up to 113 million tonnes per year by 2035.He instructed officials to design a dedicated policy for processing low-grade magnetite ore and to accelerate mineral exploration activities. He stressed the importance of expediting approvals for mining leases and operationalising them quickly to maximise output and revenue.Revenue growth targetsThe officials informed the Chief Minister that the Mines Department exceeded its revenue target for 2025–26, achieving 108% of the goal. The department generated ₹3,416 crore during the financial year, marking a 32% increase when compared to the previous year.
This growth rate surpassed that of major mineral-rich states such as Odisha, Karnataka, Chhattisgarh, Rajasthan, and Madhya Pradesh, they said. Naidu orders AI push in governance, ₹1 crore each for districts to tackle water woesFor the 2026–27 financial year, the government has set a revenue target of ₹4,650 crore, aiming for a 36% increase over the previous year.
Originally reported by The Hindu. This story has been edited and re-presented by BRIC Team.
