Public sector enterprise Visakhapatnam Steel Plant has returned to the path of profitability with sustained support from the Central and Andhra Pradesh governments, officials informed Chief Minister N. Chandrababu Naidu on Tuesday.
Rashtriya Ispat Nigam Limited (RINL), the corporate entity of the Visakhapatnam Steel Plant, reported a turnaround over the past year and a half, registering a profit of Rs 54 crore in January 2026.
The Chief Minister reviewed the progress of the steel plant at a meeting held at the Secretariat on Tuesday. Union Steel Ministry Secretary Sandeep Poundrik, Visakhapatnam Steel Plant Chairman and Managing Director Manish Raj Gupta, Chief Secretary K. Vijayanand, and other senior state government officials were present.
During the meeting, the plant’s CMD informed the Chief Minister that continuous support from both the Centre and the state government had helped the plant overcome its earlier losses. He said the plant is currently producing 19,401 tonnes of hot metal per day, compared to just 9,215 tonnes per day in the second quarter of 2024–25.
Officials said production has increased substantially with all three blast furnaces now fully operational. Capacity utilisation has touched a record 94 per cent, a sharp rise from around 45 per cent recorded last year.
They explained that state government support in areas such as taxes, electricity dues, and water supply had played a key role in moving the steel plant from financial stress to profitability.
Officials also noted that the Rs 11,440 crore assistance provided by the Central government helped stabilise operations and improve overall performance. RINL’s credit rating has also improved, they added.
Responding to the update, the Chief Minister directed officials to introduce new policies across departments to further strengthen the steel plant. He said the turnaround was possible due to the collective efforts of workers, employees, officials, and the continued cooperation between the Central and state governments.
(IANS)
