Home » MSTC to build steel scrap unit for Rs 120 cr

MSTC to build steel scrap unit for Rs 120 cr

MSTC to build steel scrap unit for Rs 120 cr
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Media reports suggest that public sector trading firm MSTC plans to set up a automotive and white goods steel scrap shredding unit in Dahej at a cost of Rs 120 crore.

The plant, to be located at Dahej, may be operationalised in the first half of 2013-14. For installing the unit, to be built on a 20-acre plot, selection of an EPC contractor would be done through a global tendering process.

The company expects to hire the contractor by the next quarter of this financial year. India imports around 9 million tonne a year of auto-grade steel scrap for recycling into the high-value flat products.

The country lacks organised auto-grade scrap shredding. The countryÂ’s innumerable un-organised scrap handling units reclaim steel including auto grade steel in an unscientific manner, which is used for inferior steel making.

In view of growing generation of scrapped automobiles and white goods, the firm planned to derive economic value arbitrage through this pilot project. The company also plans to set up junk car collection centres.

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