NCOA reiterates mega merger of PSU steel plants

Visakhapatnam: National Confederation of Officers' Association (NCOA) of Central Public Sector Undertakings has asked Prime Minister Narendra Modi to consider the mega merger of SAIL, its subsidiaries, Rashtriya Ispat Nigam Limited (RINL) and few other companies into a giant steel company.

In the council meeting of NCOA held recently at Manali attended by representatives of officers association of PSUs, a resolution was adopted unanimously reiterating the demand for mega merger.

"A single maha steel unit be formed by merging, steel plants of Steel Authority of India Ltd (SAIL) & its subsidiaries unit with RINL, the corporate entity of Visakhapatnaman Steel Plant and its subsidiaries, NMDC steel plant and MECON under the Ministry of Steel," Katam SS Chandra Rao, Deputy Secretary General, NCOA, told Bizz Buzz on Saturday.

The mega steel merger also in line with the recommendations of parliament committee submitted in the month of March 2013 to expand further steel capacities. This shall greatly help to realise the targets of National Steel Policy of 300MTPA steel capacity by as this mega steel PSU shall further expand its capacity in economic way as all experts will be available in one PSU, he said.

Each steel unit has its strengths and weaknesses, but merger of them into single unit would help them to synergise their strengths and turn the weaknesses into opportunities and overall benefits to nation, the resolution stated.

"Steel being an essential component in the grow rate and contributes heavily to the GDP of our country, it should be kept under strategic sector of the nation. Our country owns the best quality iron ore mines in the world. We need to extract steel from the ore which shall create large number of employment, self sufficient in steel making by which Atma Nirbhar Bharat and Make in India shall be achieved," Rao said.