Midhani gets land clearance to set up Aluminium plant for Indian defence unit in Andhra Pradesh

The District Administration of Nellore in Andhra Pradesh, the south-eastern coastal state of India, has eventually cleared the land issues for Aluminium Plant for defence unit, which was proposed by Mishra Dhatu Nigam Limited (MIDHANI).

The proposed land has been at Bodduvaripalem, district Nellore and it has been transferred to Utkarsha Aluminium Dhatu Nigam Limited, a joint venture between Midhani and Nalco. The company is getting ready to start its unit as the officials registered 110 acres of land with the initiation of the District Collector.

Mishra Dhatu Nigam Limited, the defence public sector unit of India planned a greenfield aluminium alloys production plant at Bodduvaripalem, however, the land acquiring issues barricaded the INR 2,000 crore project. The foundation stone laying ceremony was planned in August 2019 but due to the demise of former Union Minister Arun Jaitley, it was postponed.

Midhani approached the Andhra Pradesh State Government during the first quarter of 2017 for land allotment and the district administration had initially allocated 110 acres of land for Midhani and signed an MOU for setting up the joint venture with Nalco on aluminium alloys plant for the production of high-end value products, but the company failed to float the unit due to land disputes raised by the farmers.

The State Government previously allocated land to the local farmers some four decades ago under the CJFS scheme and the farmers hadn't utilized them for agriculture purposes until 2010-12. So, the government reassigned them in 2013 reducing the extent from one acre to 60 cents each who were having land deed as they were not using the lands for livelihood activity.

Revenue authorities have offered INR 1 million to the land in 2013, although the market value was at INR 400,000 per acre for cultivable lands. But the farmers expected more value and started agitations for additional money approaching the courts.

J Chandrasekhar, Zonal Manager, Andhra Pradesh Industrial Infrastructure Corporation said: “The land has been had transferred to the new company on 1^st October’20.”

“Nellore District Collector Chakradhar Babu took a special interest in resolving the issue. The company had started internal activities for the initial phase.”

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