Prime Minister Narendra Modi on Friday, January 17, approved a ₹11,440 crore package to revive Rashtriya Ispat Nigam Limited (RINL), the State-owned steel producer, Union Minister Ashwini Vaishnaw announced.
Breakdown of the Revival Package
The revival package includes:
- ₹10,300 crore in fresh equity infusion
- ₹1,140 crore by converting working capital loans into preferred share capital
“This package aims to address RINL’s legacy issues and ensure its long-term sustainability,” the Union Minister said.
Strategic Importance of RINL
Union Minister Vaishnaw emphasized the critical role of RINL in India’s steel industry, noting its coastal location in Visakhapatnam, Andhra Pradesh, as a significant strategic asset. “RINL holds a unique position in the steel sector, contributing significantly to India’s industrial growth,” he said.
The government also plans to modernize the plant and secure raw materials, ensuring operational efficiency. The revival is expected to benefit RINL employees, local economies, and Andhra Pradesh’s industrial landscape.
Aatmanirbhar Bharat and Steel Industry Growth
Prime Minister Modi highlighted the revival’s alignment with the vision of Aatmanirbhar Bharat. “The Visakhapatnam Steel Plant has a special place in the hearts of Andhra Pradesh’s people. This equity support of over ₹10,000 crore underscores the importance of the steel sector in building an Aatmanirbhar Bharat,” Modi stated in a post on X (formerly Twitter).
Future Plans
The Union Minister outlined RINL’s operational roadmap, including the activation of two blast furnaces and plans to have all three furnaces operational by August 2025.
This revival initiative signals the government’s commitment to strengthening India’s steel industry and fostering self-reliance in critical sectors.
