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[Ferro-Alloys.com]VISAKHAPATNAM: Rashtriya Ispat Nigam Ltd, the corporate entity of Vizag Steel Plant, sustained growth figures in the last eight months from April this year despite shortage of iron ore. The RINL recorded a growth of 15% in salable steel to 2.76 million tonne (MT) over the same period last year which was 2.40 mt. The turnover also registered an impressive 31% growth at Rs 9,650 crore in April- November 2017 when compared to last year. The RINL also achieved 12% growth in hot metal. Significant growth was also registered from the finishing mills of expansion _ Wire Rod Mill– 2, Special Bar Mill and Structural Mill _ wings during the same period. 

On the occasion, P Madhusudan, the CMD of RINL, observed that “the growth clearly reflects the company’s march towards ramping up of capacity during the current year and added that various measures being taken by the Ministry of Steel and internal initiatives led to the performance improvement.” He congratulated the RINL team collectively for the achievement.

Further, it is noteworthy that the RINL sustained the growth despite shortage of iron ore supply from the Bailadila (Chhattisgarh) iron ore mines by the National Mineral Development Corporation (NMDC) as the RINL owes Rs 800 crore to the NMDC. In addition, the Kothavalasa- Kirandul line (KK line) which facilitates the transportation of Iron ore to the RINL from Bailadila mines was recently damaged at the pillar no. 249, between tunnel 32 and 33 near Borra Caves and the track repair works are underway. It will take another week for trial run on the track. 

Against this background, the RINL is neck deep in troubles. As per sources, Godavari blast furnace was stopped for more than 24 hours and furnace 1, the Krishna, was stopped on Wednesday and production was seriously affected. Now, the RINL suffers from severe short supply of iron ore by the NMDC and decrease in raw material stocks day by day which makes the management jittery over the production after a week. 

The RINL targetted higher production this month and is poised to achieve it with alternative arrangements for iron ore supply. “Though we are facing iron ore crisis, things are manageable and there is no emergency situation at all. On Tuesday and Wednesday we got 4 and 3 racks of iron ore from the NMDC and we are able to run the two regular blast furnaces. Meanwhile, our higher authorities are making arrangements to get additional Iron ore supplies from the NMDC soon,” said an official.

• [Editor:Jiang Li Juan ]