The Hindu Business Line : AP CM allays fears on bauxite mining

The Chief Minister, Dr Y.S. Rajasekhara Reddy, has regretted opposition to mining of bauxite in the agency areas of Visakhapatnam district and sought to dispel apprehensions that mining might affect tribals and their livelihood.

After dedicating the integrated mini-steel plant promoted by Maa Mahamaya Industries Private Ltd at R.G. Peta in L. Kota mandal in the district on Saturday evening, the Chief Minister said that even if one tribal was affected on account of the bauxite mining, the Government would compensate him four times. He said two aluminium units would come up in this region, providing employment opportunities to tribals. He said that due to the incentives offered to entrepreneurs, the Government could attract investments worth Rs 5,000 crore during the past two years, which was equal to the total investment attracted by the TDP Government during its last term.

He said industries must come up for development of the region and thanked the Chairman and Managing Director of Maa Mahamaya, Mr Ashok Kumar Agarwal, for setting up the unit in the backward district.

The Tourism and Industries Minister, Ms J. Geetha Reddy also thanked Mr Agarwal.

Mr Agarwalsaid the plant with a capacity of 400 tonnes per day would begin production from the first week of June. It would provide direct employment to 500 persons and indirect employment to many more, as 5 lakh tonnes of material would have to be moved every year.

The unit would produce primary steel, refine it in a steel melting shop equipped with ladle furnaces and produce TMT bars. The company had also built up a captive power plant with a capacity of 20 MWs, he said.

The estimated capital outlay for the project was Rs 280 crore, he said and added that the products would be sold in the markets of Andhra Pradesh, Orissa, Karnataka and Tamil Nadu.

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