Gwalior, Aug 17 (IANS): India's largest integrated iron and steel producer, Steel Authority of India (SAIL) on Monday unveiled a steel processing unit here - set up by means of a joint venture, which will annually produce one lakh tonne of TMT steel.

Inaugurated by union Minister for Steel and Mines Narendra Singh Tomar, the unit is co-owned by Prime Gold.

While the private firm owns the controlling stake at 74 percent in the steel processing unit, the public sector company owns the rest 26 percent.

Under the agreement, SAIL will supply 60,000 tonne of billet to the plant on an annual basis.

According to a communication from SAIL, the union minister said in his inaugural address that formation of this unit was a firm step towards achieving the goals of Make in India.

"The steel sector contributes to more than two percent of the GDP and employs around six lakh people and we plan to increase this number manifold," Tomar said.

SAIL will be marketing the TMT steel produced from the unit and pay conversion charges on per tonne sales basis to its joint-venture partner.