ArcelorMittal Nippon Steel (AMNS) India plans to set up three scrap processing centres at a capital infusion of around Rs 100 crore. The company plans to set up two centres at Hazira and Ahmedabad in Gujarat, and another one in Khopoli, Maharashtra.

As per the plan submitted to the board of AMNS India, all the three centres are to be set up by 2024. AMNS India owns and operates a nine million tonne (MT) plant at Hazira where it uses three to five percent of scrap to manufacture steel.

AMNS India aims to increase its scrap mix-up to 9-10 percent with the set up of the centres. Currently, the level of recycled steel usage in primary steel production is around 10 percent, even though recycled steel contributes to 22.5 percent of the domestic total steel production of 140 million tonne.

Earlier, Union Steel Minister Jyotiraditya Scindia had stated that the ministry will push primary steel producers to use 50 percent of their input from scrapped/recycled steel by 2047 to achieve circular economy.