SAIL PLANS TURNAROUND THIS YEAR
Steps taken by
the Government has put Steel Authority of India Ltd. (SAIL), a
public sector unit of the Steel Ministry back on the path of revival.
In addition to the revival package approved by the Government
which had financial component as well as business restructuring
component, SAIL has undertaken a number of interim measures for
revival like improved product mix and improved performance with
reference to techno economic parameters, increased saleable steel
production and reduction in overall debts. Continuous cost reduction
coupled with improvement in the operating parameters has helped
SAIL to maintain its cost of production at almost the same level
for the last 5 years despite steep increase in prices of raw materials.
The performance of SAIL is being constantly monitored and reviewed
by the Ministry on a quarterly basis and efforts are being made
to ensure that SAIL turns around during the coming year.
SAIL Plants'
capacity utilisation has been 100 per cent and the results in
the current financial year are also very encouraging. The modernisation
programme is being undertaken simultaneously and during the current
financial year, there will be substantial increase in the profitability.
SAIL is also examining plans for upgradation of blast furnaces.
During the 10th Five Year Plan, it is proposed to invest
almost Rs. 5000 crores in modernisation of steel plants. Further
steps are being taken to ensure that the export price should not
be less than the domestic price.
