The study said the investment by Posco-India would set up a chain reaction on the state's economy resulting in increase in its gross output, employment and value addition, a Posco-India release quoting the NCAER report said in Bhubaneswar.
As per the study, an enormous tax contribution to both the state and central governments was also expected, it said.
The project was expected to generate Rs 29,760 crore (Rs 297.60 billion) of additional output for the state while in terms of value addition, it would contribute 11.5 per cent to the estimated State Gross Domestic Product by 2016-17.
Posco-India is to invest Rs 52,810 crore (Rs 528.10 billion) to construct a greenfield steel plant, develop iron ore mines and also construct support-infrastructure in both the domestic tariff area and the special economic zone in Orissa.
The release quoted Posco-India's chairman-cum-managing director Soung-sik Cho as saying, "The company's India project is an endeavour to combine the advantages of Orissa and Posco for a huge synergy effect. If such favourable conditions are utilised effectively, it will create a win-win situation for all parties. We believe that Posco is in an ideal position to play this role".
