In response to recent discussions, Central Steel Minister of State Bhupatiraju Srinivasavarma clarified that Steel Authority of India Limited (SAIL) has raised objections to the immediate merger of the Visakhapatnam Steel Plant. The minister explained that while a ₹11,440 crore package has been announced for the plant, SAIL will consider a merger only after the plant returns to profitability.
SAIL, according to Srinivasavarma, has emphasized that although they have been asked to take over management, the merger process will not commence until the plant is back on track financially. SAIL also confirmed that there has been no official statement indicating a permanent refusal to merge the steel plant, dismissing any claims to the contrary.
The minister stated, “SAIL is prepared to manage the plant with the given package, working towards overcoming its losses. Once the plant achieves profitability, we will evaluate the process of a merger.” This statement clarifies that SAIL is open to considering a merger of the Visakhapatnam Steel Plant, but only once the plant is financially stable.