SAIL plans to form joint venture to supply coal
Indian steel producer Steel Authority of
India Ltd (
SAIL) is reportedly planning to form a joint venture with a foreign coal company by the end of current fiscal year.
Indian Steel Minister Paswan announced that
SAIL is currently in talks with many foreign companies for the project. As previously reported by SteelOrbis,
SAIL has faced raw material shortage this year and the plant has had to shut some of its operations temporarily. The planned joint venture is expected to ease
SAIL's problem of raw material shortage.
Moreover, as
SAIL plans to expand its annual
production capacity, it has to have stable raw material supplies to operate at full capacity.
SAIL currently meets its coal requirement mostly from
Australia.