Andhra Pradesh won a lucky draw on Sunday as a major Chinese steel maker company, Ansteel, revealed its interest on creating a steel plant in the recently formed state. Ansteel, which is a government-owned company, plans to set-up the plant worth Rs 3,000 crore according to an official statement.

A bilateral meeting was held between Chief Minister Chandrababu Naidu and Ansteel company officials on Sunday. During the meeting which took place in Tianjin, he cordially invited them to visit Andhra Pradesh and encouraged them to find the optimal location for their steel plant. Naidu is currently on a 4 day tour of China.

Naidu also pointed out that due to India’s rapid growth, the steel manufactured by the Ansteel growth will be in demand from both private and public enterprises. Since Amaravati’s constructions is also going on, the demand for steel will only rise in the future according to him.

The Ansteel officials were also referred to a prime location by Chandrababu. He suggested them to check out the site in Kadapa district where a steel plant was supposed to be set-up in the past. Plans for construction broke down due to a minister of Karnataka, Gali Janardhan Reddy, being sent to jail. The site has the added advantage of being close to the port as well as the availability of iron ore close-by.

He finished off the meeting by encouraging the company officials to present an “implementable action plan”. Such a plan would speed up the land allotment process.