Vizag Steel to increase output

Vijayawada: Vizag Steel Plant (VSP) Chairman and Managing Director (CMD) P Madhusudan said the production capacity of the plant will be increased to 6.3 million tonnes in the coming financial year. He was addressing the media at a customers' meet organised here on Wednesday.

Madhusudan said for the first time, the production capacity of Vizag Steel Plant had reached five million tonnes in the financial year 2017. He said that steel plant has achieved a turnover of Rs 16,000 crore which was 35 per cent more compared to previous year. He said that at present steel plant is out of losses and from the next financial year it will be in profits.

He said a new branch was opened at Gannavaram and a request was made to the government to allocate some more land to keep the stock. He said about 40,000 tonnes of material was sold after opening a branch at Gannavaram.

He said that the meeting was organised to know the needs of the customers and study the market. He said in the wake of the capital construction and development activities in and around Vijayawada would be a key business point.

He said an estimated cost of Rs 4,000 crore was spent for the repair works of the plant as it had crossed 20-plus years of production since 1991. After the recent repairs, the production capacity was also increased, he said. The plant production will be further increased in the coming years, he added.

Andhra Chamber of Commerce secretary V Bhaskar Rao, plant commercial section director P Chowdary, AP regional manager Desi Katcher and others were present.