Centre to strengthen Vizag Steel Plant rather than privatising it: Union Minister Kulaste

The Central government will focus on strengthening the Vizag Steel Plant (VSP) for the moment rather than privatising it, Union Minister of State for Steel, Faggan Singh Kulaste said here on Thursday. He made this announcement on the sidelines of handing over appointment letters under Rozgar Mela.

"As on date, we don't have any plan like that (sale) and in the coming days we will do better, including sorting out some problems with mining," Kulaste said while speaking to reporters in the port city.

Meanwhile, some employee union leaders of the steel plant noted that they cannot believe Kulaste's statements unless an authoritative announcement is made by the Cabinet Committee on Economic Affairs (CCEA) to this effect.


"We do not believe this announcement completely. It was CCEA which decided to sell VSP and it should announce that they are not selling it," said an union leader.

"We have been protesting the privatisation plan for the past 800 days. This movement is being supported by people from this State and neighbouring Telangana also," he said.

Despite the State government resolving against the privatisation of the steel plant, he said the Centre has appointed a legal advisor and professional to value Rashtriya Ispat Nigam Limited (RINL) or VSP for selling it away.

The union leader demanded that these plans should be aborted immediately and only then they could believe Kulaste's announcement.