Indian government lists six state-owned steelmakers for sale

The Indian government has listed six state-run steel plants, including Rashtriya Ispat Nigam Limited (RINL), for sale, according to the finance ministry.

The ministry confirms that no state steel plant has been sold during the last five years. The disinvestment of central public sector enterprises (CPSEs), including steel plants, was guided by the new public sector enterprise policy for Atmanirbhar Bharat (Self-reliant India), Kallanish notes.

“As per the new policy, the existing PSEs were broadly classified as strategic and non-strategic sectors,” says union minister of state for finance Bhagwat Kishanrao Karad. “In the strategic sector, the existing PSEs at the holding company level would be retained under government control. In the non-strategic sector, including steel plants, the PSEs would be considered either for privatisation or closure”.

RINL, Neelachal Ispat Nigam Limited, NMDC Integrated Steel Plant, Alloy Steel Plant, Visvesvaraya Iron & Steel Plant and Salem Steel Plant are the steel companies earmarked for sale. This has been approved by the federal cabinet of ministers.

RINL, a 6.3 million tonnes/year capacity integrated state-run steel plant, posted a turnover of INR 5,223 crore ($701.11 million) in the fiscal first quarter ended 30 June.

Sayed Aameer India