Team News Riveting
New Delhi, September 14
The capital expenditure of the central public sector enterprises (CPSEs) in the steel sector is likely to see a surge.
Steel Minister Ram Chandra Prasad Singh has directed the steel CPSEs to step up the pace of their capital expenditure and to also streamline the processes for timely completion of projects,
Union Steel Minister Ram Chandra Prasad Singh chaired a meeting here today to review the progress of capital expenditure (CAPEX) by Steel CPSEs. During the detailed review of projects under implementation, the union minister emphasized the importance of capital expenditure in building steel infrastructure to spur high and sustainable growth in the post pandemic period.
Minister of state for steel Faggan Singh Kulaste, Steel Secretary Pradip Kumar Tripathi and the CMDs of Steel CPSEs that included Steel Authority of India Ltd. (SAIL), National Mineral Development Ltd. (NMDC), Rashtriya Ispat Nigam Ltd. (RINL), Kudremukh Iron Ore Company Ltd. (KIOCL) and Manganese Ore (India) Ltd. (MOIL) and senior officers of the Ministry of Steel attended the meeting.
A rating agency had recently observed that higher operating margin due to higher prices of the metal will help the domestic steel makers to “double down” on capital expenditure.
Country’s largest private steel maker Tata Steel had unveiled plans to invest Rs 50,000-60,000 crore over the next five years. It would be used to enhance the capacity of different units including ramping up its Kalinganagar plant to eight million tonnes, securing iron ore capacity of 50 million tonnes per annum, and enhancing the cold rolling capacity to 6.5 million tonne per annum (mtpa) from 4.3 mtpa.
