Parliamentary panel recommends SAIL-RINL merger

by Unknown on Sunday 31 March 2013

KOLKATA: A Parliamentary Panel has recommended the merger state-owned steel giants Steel Authority of India Limited (SAIL) and Rashtriya Ispat Nigam Limited (RINL). The Committee on Public Undertakings, a body of Lok Sabha members has reiterated its proposal stating that the the move will help the two companies acquire global scale and bring down costs of production.

""While reiterating their recommendation on revisiting the proposal for merger of RINL with SAIL, the Committee desires the government to clearly specify its stand on the issue and apprise it on the same,"" Committee on Public Undertaking has said in a recent report.
SAIL, one of the largest domestic steel companies currently has a capacity to produce 14.6 million tonnes per annum (mtpa). It has embarked on a capacity expansion to take it to 26.2 mtpa. Vizag-based RINL currently has a capacity of 2.9 mtpa, which is expected to go up to 6.3 mtpa in the next fiscal. Read More

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