New Delhi, May 4 (UNI) Public sector firm Steel Authority of India Ltd (SAIL) has signed a memorandum of understanding with the Kerala government for revival of the loss-making Steel Complex Ltd (SCL).
Under the MoU, SAIL will acquire 50 per cent shares of SCL, which is a subsidiary of the Kerala State Industrial Corporation Ltd, and the company will be operated as a joint venture between SAIL and the Kerala Government.
It is envisaged that the JV company will revamp the existing steel making and continuous casting facilities existing in the 50,000 tonnes per annum company SCL.
The MoU was signed at a simple function held yesterday at Kozhikode by SAIL Director (Personnel) G Ojha and P H Kurien, Secretary, Industries (Investment Promotion) Department, Government of Kerala, in the presence of Steel Minister Ram Vilas Paswan, Kerala Chief Minister V S Achuthanandan, Principal Secretary to the Prime Minister T K A Nair, Secretary (Steel), R S Pandey, Kerala Minister for Industries and Commerce Elamaram Kareem and SAIL Chairman S K Roongta.
The revival plan for SCL, producing continuous cast billets which is used by re-rollers for producing TMT bars for the construction industry, will also provide a good opportunity from SAIL to develop its already existing base in Kerala and improve its market share by meeting the growing demand of TMT bars in the state.
A joint working group of nominees from SAIL and the Kerala government has been constituted to operationalise the plans, said a SAIL statement issued here today.
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