Odisha’s Chief Minister, Mohan Charan Majhi, is making big moves to boost the state’s industrial future. During his two-day trip to New Delhi, he’s set to sign a massive agreement with Indian Oil Corporation Limited (IOCL) — a game-changing project that could put Odisha at the center of India’s petrochemical map.
The Big Project: What’s Happening?
At the heart of this visit is a landmark Memorandum of Understanding (MoU) for a ₹61,000 crore dual-feed naphtha cracker plant — the largest of its kind in the country. The facility will be built in Paradip, located in the Jagatsinghpur district, which is already a major energy hub, thanks to IOCL’s existing refinery there.
This isn’t just another industrial deal. It’s a turning point for Odisha’s economy.
What Is a Naphtha Cracker, and Why Does It Matter?
A naphtha cracker is a key part of petrochemical manufacturing. It “cracks” naphtha — a petroleum product — into essential chemical building blocks like ethylene and propylene. These are then used to make a wide range of products, from plastics to textiles to pharmaceuticals.
So basically, this project will:
- Boost domestic production of polymers and chemicals
- Cut India’s reliance on imports
- Create thousands of skilled and semi-skilled jobs
- Attract more downstream industries (think: packaging, automotive, manufacturing)
Shared Ownership: Odisha Gets a Slice of the Pie
Here’s where it gets interesting: The Odisha government isn’t just offering land and cheering from the sidelines — it will actually hold equity in the project. That means the state won’t just collect taxes but will earn dividends from the profits.
This kind of partnership is rare and shows that Odisha wants a seat at the table when it comes to shaping its own industrial future.
Where Did This Idea Come From?
The idea took shape back in December 2024, during a meeting between CM Majhi and IOCL Chairman A.S. Sahney. The Odisha government had already given its green signal in August 2024, as part of a broader IOCL investment plan worth over ₹1 lakh crore.
The Paradip refinery itself will also expand from 15 million tonnes per year to 25 million tonnes, making it one of the largest in the region.
More Energy Deals in the Pipeline
Along with the IOCL project, Odisha is signing additional energy-related MoUs:
- Indian Strategic Petroleum Reserves Ltd (ISPRL) – likely to boost emergency oil reserves in the state.
- Petronet LNG – to enhance the state’s liquefied natural gas (LNG) infrastructure.
These deals will strengthen Odisha’s position in India’s energy supply chain, making it a major player in both traditional and future energy.
Day 1 Highlights: Odisha’s Roadshow Pays Off
On the first day of the Delhi visit, Odisha already saw huge investor interest:
- 14 companies submitted investment proposals worth ₹3,000 crore.
- These are expected to create over 21,000 jobs.
- Additionally, 11 MoUs worth ₹27,595 crore were signed, potentially generating another 27,000 jobs.
CM Majhi also visited the HCL Technologies campus in Noida and discussed future IT development in Odisha with Chairperson Roshni Nadar Malhotra. HCL is planning to open a new campus and university in Bhubaneswar, signaling a tech boom for the state.
Looking Ahead: Odisha’s Big Industrial Leap
With all these developments, Odisha is clearly ramping up its ambitions to become a top industrial state — not just in the east but across India. From petrochemicals to tech, energy to employment — the roadmap is bold, inclusive, and growth-oriented.
The Paradip Cracker Project isn’t just an investment — it’s a symbol of Odisha’s transformation into a major hub for innovation, industry, and opportunity.
