SAIL’S RAW MATERIALS DIVISION MUST REMAIN IN KOLKATA
MOVE ALL LARGE PSEs FROM DELHI TO OPERATIONAL BASES
2021-06-28 09:45
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There is little business or commercial reason behind the government’s move to dismantle the age-old Kolkata-based raw materials division (RMD) of public sector Steel Authority of India Limited (SAIL). The move appears to be totally political and engineered by the national government. The division has done very well over the last three decades. In fact, it needs to be strengthened by linking to SAIL’s coking coal import. The country imports about 56 million tonnes of metallurgical (coking) coal, worth around Rs. 72,000 crore. SAIL is the largest single importer. Surprisingly, this is handled by SAIL’s commercial office in Delhi and not its RMD in Kolkata. Like Tata Steel, SAIL should also have its commercial office in Kolkata and not in Delhi. The SAIL board is unlikely to take such a crucial decision as shutting down the decades old RMD in Kolkata and distribute its function to its two steel plants, Rourkela and Bokaro, without the government support and provocation.