Visakhapatnam Steel Plant on Recovery Path: CMD Bhat

Visakhapatnam: Visakhapatnam Steel Plant (VSP) is firmly on the path of recovery, said Atul Bhat, chairman and managing director (CMD)of Rashtriya Ispat Nigam Limited (RINL), the corporate entity of the steel plant.

Addressing the Independence Day celebrations organised at the steel township on Thursday, the CMD pointed out that India has emerged as the strongest driver of growth in steel demand since 2021. He said as per projections, Indian steel demand will continue to rise, with an eight percent growth in steel demand through 2024 and 2025, especially due to infrastructure investments in all sectors.

Atul Bhat said as per the world’s steel forecast, demand during this year will see a 1.7 per cent rebound to reach 1,793 million tonnes steel. It is predicted that the demand will continue to grow by 1.2 per cent in 2025 to reach 1,815 million tonnes.

“Given the global and domestic steel demand, RINL is firmly on the path of recovery. During the period, the company concentrated on re-orienting strategies to optimise product mix. It concentrated on niche markets and high-end value-added products,” the CMD explained.

He underlined that union minister for steel H.D. Kumaraswamy, immediately after taking over in July, reviewed the position of RINL, held discussions with bankers and also visited the Visakhapatnam Steel Plant.

Atul Bhat said to maximise returns, the company has embarked on a three-pronged strategy – increase production, reduce costs and improve realisations.

RINL directors, senior officials and a large number of workers participated in the Independence Day celebrations.