The Hindu Business Line : SAIL charts Rs 37,000-cr expansion to face competition

To gear up for the competition that might come up with Mittal Steel confirming its India plans and Posco moving ahead with its project, the largest domestic steel manufacturer, Steel Authority of India Ltd's (SAIL) corporate expansion plan of around Rs 35,000 crore was today increased to Rs 37,000 crore. It has also been decided that the timeline for the major part of the expansion process would be compressed from the original schedule of 5 years to around 3 years, according to an official release.

These decisions were taken at a review meeting held here today by the Minister for Chemicals, Fertilizers and Steel, Mr Ram Vilas Paswan.

The public sector steel giant has planned to expand its production capacity from the current annual level of around 14.5 million tonnes to around 22.5 million tonnes over the next 5 years.

The compression of time would enable it to prepare for the market two to three years before the Posco or Mittal capacity comes up.

SAIL's expansion plan envisages an investment of around Rs 9,000 crore at Bokaro Steel Plant , Rs 6,340 crore at Bhilai Steel Plant , Rs 4,590 crore at Rourkela Steel Plant and Rs 2,840 crore at Durgapur Steel Plant.

Also, a major investment of around Rs 9,600 crore has been envisaged in IISCO, and Rs 1,553 crore in Salem Steel Plant.

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