Malay Mukhejee: Action time

Luxembourg, Nov. 21: The world’s largest steel maker, ArcelorMittal, is going to set up a research & development centre in India even before the company kicks off land acquisitions for its projects in Jharkhand and Orissa.

The company plans to form alliances with reputed Indian universities for the research venture that may come up next year. “We will definitely invest in R&D in India,” Lakshmi Niwas Mittal, president and chief executive officer of ArcelorMittal, said at the company’s headquarters in Luxembourg.

The company hopes to draw on the domestic talent pool for its research setup.

Noting that the Indian Institute of Technology, Bombay, had a strong metallurgical engineering department, Mittal said the company planned an “alliance with such kinds of universities.”

Greg Ludkovsky, vice-president (R&D) of the company, said the proposal for the research project would be placed before the group management board of ArcelorMittal next month for approval.

“We are looking at mine and minerology as the focus area for this setup,” Ludkovsky said while interacting with the Indian media at Maizieres-les-Metz in France, where the company has a large research setup.

It would begin with a modest number of people but expand when the two large plants come up in Orissa and Jharkhand.

India has large deposits of coal and iron ore. It is one of the largest exporters of low-grade iron ore fines used for steel making in China. It has also deposits of ferro alloys such as manganese and chrome. These deposits have prompted Mittal to focus on mines and mineralogy.

ArcelorMittal has experience in steel making from iron ore having low ferrous content, and the company is keen on honing the skill further.

“We will cover the entire spectrum of input material — coke, coal, iron ore, ferro alloys — in that centre,” Ludkovsky said.

Rehabilitation plans

ArcelorMittal wants to ensure a fair deal to all the people who will give land for their projects, Malay Mukherjee, member of the group management board of the company, said.

“We are looking at various options to support the people who will give land,” Mukherjee said. Giving land for land is one option being explored by the company. It is also looking at providing support to farmers willing to give land.

The company may buy them farm equipment to enhance productivity.

ArcelorMittal is awaiting the rehabilitation and resettlement policy of the Jharkhand government before unveiling its own programme. In Orissa, however, the policy is in place.