April 03, 2002

    Vizag Steel Plant (VSP) of the Rastriya Ispat Nigam Ltd. (RINL), a public sector undertaking of the Ministry of Steel has achieved a record turnover of Rs.4077 crore during the year 2001-02, the highest since inception. It is provisionally estimated that the Company is likely to achieve a gross margin of around Rs.630 crore and a cash profit of around 330 crore during the year. The profit is more than the double the profit achieved in the last financial year.

    VSP has produced 2.757 million tonnes of saleable steel , 3.083 million tonnes of liquid steel and 3.485 million tonnes of hot metal during the year. The production of saleable steel and hot metal has registered a 10 per cent growth over last year and the liquid steel, a growth of 6 per cent. The major production shops i.e. Sinter Plant, Blast furnace, Steel melting shop, light and medium merchant mill, and wire Rod Mill have consistently surpassed the monthly records.

    Finished steel production during the year constitutes 86 per cent of the saleable steel production resulting in substantial reduction of semis from a level of 31 per cent in 1998-99 to 14 per cent in 2001-02. Value added production has touched 4 lakh tonne mark which is 33 per cent more than the last year's production of 3 lakh tonnes. The PSU has achieved the best performance in many techno-economic parameters during the year and has achieved the yearly best records in several parameters which are also the best since inception.

    Various cost reduction measures in all areas have resulted in a saving of over Rs.180 crore during the year. The sales turnover of Rs.4077 crore of the year has shown a growth of 19 per cent over 2000-01. All the scheduled payments alongwith interest has helped the company to reduce its interest burden by over Rs.50 crore.