Shri Ashwini Vaishnaw, Minister of Railways, Information & Broadcasting, and Electronics and Information Technology, expressed gratitude to Prime Minister Shri Narendra Modi for approving the massive revival and restructuring plan for Rashtriya Ispat Nigam Limited (RINL). The revival package, totaling Rs. 11,440 crore, aims to address the historical challenges faced by RINL and modernize its facilities for future growth.

RINL, a Schedule-A CPSE under the Ministry of Steel, operates the Visakhapatnam Steel Plant (VSP), located on the coast of Andhra Pradesh near Vizag. VSP is the only offshore steel plant under the government sector in India, with an installed capacity of 7.3 million tonnes per annum (Mtpa) of liquid steel. This plant holds a special position in the Indian steel industry, and its revival is expected to benefit not only RINL’s employees, both regular and contractual, but also the broader community dependent on the plant’s economic activities.

The revival plan includes a fresh equity infusion of Rs. 10,300 crore and the conversion of a working capital loan into preference share capital worth Rs. 1,140 crore. With these funds, RINL aims to resolve operational issues, improve production capacity, and stabilize the Indian steel market by increasing steel production. By January 2025, RINL plans to start full production with two blast furnaces, and by August 2025, it aims to operate all three blast furnaces.

Shri Vaishnaw emphasized that this revitalization will also secure raw materials and modernize the plant, ultimately helping to achieve the goals set forth in the National Steel Policy, 2017. The revival of RINL will not only ensure the efficient use of public resources but also contribute to the overall economic development of India, particularly in Andhra Pradesh, where the plant is a key industrial asset.

Source/SCR