The new units in the Rashtriya Ispat Nigam Ltd (Visakhapatnam steel plant) are functioning well and their production is being stabilised, according to Chairman and Managing Director P. Madhusudan.
In an interview on Thursday at the plant, Madhusudan said the plant's capacity had risen to 6.3 million tonnes now and the capital repairs and modernisation of the units were underway. After the completion of the process, one million tonnes would be added and by 2017-18 the capacity would rise to 7.3 million tonnes.
He said that "ultimately the objective is to take the capacity to 20 million tonnes by 2032 and it would be done in three phases or so." He said the capital repairs to first blast furnace (Godavari) had been completed and the repairs to the second blast furnace (Krishna) would be taken up later this year. He said repairs to two sinter machines of 3 million tonnes would also be undertaken as part of the modernisation process at a cost of Rs 5,000 crore.
He said the RINL was also diversifying its product profile and it would also produce flat products in future, though its strength is in long ones. "Though the market is sluggish at present, we are hopeful that it will improve soon. The new capital of Andhra Pradesh is being built and it augurs well for us. Ours is the nearest plant and we will provide products at competitive rates. We have already sounded the State Government," he said.
He said the Centre would take a decision on disinvestment after taking into account market conditions and other factors into consideration. In the past, it had been postponed several times for one reason or the other.
He said the revised dates for the Prime Minister's visit to the plant to inaugurate the expansion units had not yet been finalised. He was scheduled to visit the plant in June, but it was postponed.
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