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MIDC moves to acquire 3,000 hectares for JSW’s planned INR 1-lakh-crore steel plant in Gadchiroli

#Taxation & Finance News#Industrial#India#Maharashtra
Last Updated : 5th Mar, 2026
Synopsis

The Maharashtra Industrial Development Corporation (MIDC) has advanced plans to acquire around 3,000 hectares of land across 14 villages in Chamorshi tehsil, Gadchiroli district to facilitate a proposed INR 1-lakh-crore steel plant by JSW Group, officials said in recent filings. The acquisition will be conducted under a pass-through model, with MIDC purchasing land from local owners and transferring it to the company, which will reimburse the costs. The site has already been earmarked for industrial use, and MIDC has submitted a formal proposal to the local sub-divisional officer ahead of issuing an acquisition notification. The proposed 25 million tonne per annum integrated steel facility first announced by JSW's managing director at a state industrial event last year is expected to significantly boost the industrial profile of Gadchiroli, attracting ancillary investments and supporting regional economic growth. Other steelmakers are also showing interest in the district, signalling broader industrial momentum.

The Maharashtra Industrial Development Corporation (MIDC) has initiated the process to acquire approximately 3,000 hectares of land in Chamorshi tehsil of Gadchiroli district for the development of a major new steel plant by JSW Group, according to government and industry sources. The proposed facility envisaged as a 25 million tonne per annum integrated steel plant with an investment of around INR 1 lakh crore would represent one of the largest industrial projects in eastern Maharashtra and is poised to transform the economic landscape of a region historically on the periphery of heavy industry.


MIDC has formally submitted a proposal to the sub-divisional officer (SDO) in Chamorshi as part of the penultimate administrative step required before issuance of a land acquisition notification. The land identified for acquisition spans 14 villages across the tehsil and has already been earmarked for industrial use, facilitating a smoother transition into industrial purposes once acquisition is completed. Under the pass-through acquisition model, MIDC would purchase the land directly from local landowners and then transfer it to JSW, with the company reimbursing compensation costs. This approach is intended to address procedural challenges and expedite land assembly for large-scale industrial development.

The steel plant was first announced by JSW Steel's managing director during the Khasdar Audyogik Mahotsav (Industrial Festival) held in Gadchiroli last year, where the company highlighted its intent to establish a world-scale facility in the district. The project aligns with broader state government efforts to develop Vidarbha and eastern Maharashtra as strategic industrial corridors, aimed at attracting heavy industry investments, improving logistics connectivity and creating employment opportunities. As part of this industrial push, MIDC also continues to process acquisition proposals from other steelmakers interested in setting up or expanding operations in the region.

Economic stakeholders have noted that the arrival of a large-scale integrated steel plant in Gadchiroli could catalyse a cluster effect, encouraging downstream industries such as power, logistics, components and services to locate nearby. However, the sheer scale of land assembly approximately 3,000 hectares highlights the complexity of balancing industrial growth with land use planning and community interests, particularly in districts with significant rural and tribal populations.

The next step in the process will be the issuance of the official acquisition notification by the sub-divisional office following routine scrutiny of the MIDC proposal. Once notification is issued, detailed planning and preparatory work for the project site can proceed, potentially paving the way for construction of India's newest large-scale steel facility.

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