New Delhi: Union Steel Minister Kumarswamy stated that the financial challenges of the Visakhapatnam Steel Plant began following its modernization and expansion. He attributed the crisis to the heavy loan burden incurred from banks for expansion and noted that production declined after protests against privatization.
The minister disclosed that the plant currently has outstanding debts amounting to ₹35,000 crore. However, he affirmed that privatization would not take place and assured full-scale development of the plant. He emphasized the government’s commitment to improving operational efficiency and transforming it into a leading steel plant in the country.
A roadmap is being formulated to effectively utilize the financial package provided by the central government. The minister also assured that workers’ issues would be resolved within three months and stated that trade unions had agreed to cooperate. Additionally, he announced that a working plan for the plant would be released within 15 days, reiterating that strengthening the Visakhapatnam Steel Plant remains a key priority.