Rashtriya Ispat Nigam Limited (RINL), the navratna public sector undertaking, recorded growth in all major areas of production during 2016-17, with a growth of 11% in hot metal; 10% in saleable steel; and 17% in finished steel, despite the fact, that one blast furnace was shutdown for modernisation. The company also achieved a sales turnover of Rs.12,706 crore with a growth of 4% over the previous year, this was revealed by Mr P. Madhusudan, RINL, CMD and Mr Mahabir Prasad, Director, Ministry of Steel (MoS), after they attended the RINL annual general meeting on behalf of the President of India as the authorised nominee.
Mr Madhusudan said the sudden spurt in the prices of imported coking coal by more than 200% during the year impacted the “profit margin” of the company. However, with the increase in volumes and cost reduction measures, the loss in gross margin could be limited to Rs.264 crore from Rs.660 crore during the previous year.
He said the company is focussing on improving the operational efficiency such as labour productivity, coke rate, PCI rate, specific energy consumption and is now all set to improve further with “ramp up” of production from the expansion units and stabilisation of modernisation units.
“These along with enhanced value added steel would significantly improve the overall performance of the company”. Further, the various strategic initiatives being pursued would place the company in good stead in the coming years, Mr Madhusudan added.