The Indian government’s plans for privatization of state-run steel producer Rashtriya Ispat Nigam Limited (RINL) will lead to capital infusion, expansion and infusion of newer technology, Indian steel minister Ram Prasad Chandra Singh told the Indian parliament on Thursday, March 24.
The minister said that RINL has “not increased profits over the last ten years”. He said that the Ministry of Steel has endorsed the requests made by RINL to the state governments of Odisha, Chhattisgarh and Andhra Pradesh, by recommending reservation of iron ore deposits under Section 17A (2A) of the Mines and Minerals (Development and Regulations) Act, 2015 to the Ministry of Mines.
The Ministry of Steel has also requested the Odisha government to reserve an iron ore block in favour of RINL. RINL has also been participating in the allocation of iron ore mines through the e-auction route, the minister added.
The government’s Cabinet Committee on Economic Affairs (CCEA) in 2021 had accorded “in-principle” approval for 100 percent disinvestment in RINL and its subsidiaries and joint ventures.