VSP has achieved highest single-day hot metal production, says Palla

The Rashtriya Ispat Nigam Limited (RINL), the corporate entity of Visakhapatnam Steel Plant (VSP), scripted history by achieving its highest-ever single-day hot metal production of 21,012 metric tonnes on December 14, TDP State president and Gajuwaka MLA Palla Srinivasa Rao said in a statement.

“The plant, for the first time, has exceeded its installed daily capacity, underscoring a decisive turnaround in operational performance. The achievement dispels the prevailing pessimism surrounding the PSU and calls for an objective assessment of facts,” he pointed out.

During December, the steel plant has been registering an average daily hot metal output of around 19,450 metric tonnes, translating to nearly 92% capacity utilisation, he said. “This is a clear evidence of operational stability and sustained momentum. Improved raw material availability, disciplined production processes, and more efficient management practices have collectively contributed to this revival,” he added.

The TDP State president asserted that the coalition government has extended unequivocal support to the revival of the VSP. Recalling the Telugu Desam Party’s role in preventing the plant’s privatisation in 1998, he said similar resolve is being demonstrated in 2025 to ensure that VSP remains in the public sector.

Dismissing the allegations of ‘backdoor privatisation’ as baseless, he explained that the rationalisation of contracts—from over a thousand earlier to 42 contractors across 42 divisions—was aimed at reducing financial stress and improving efficiency.

Refuting claims that hot metal is being discarded, Mr. Srinivasa Rao said such statements are ‘false’. What was removed is slag—a natural byproduct separated during the production process—and not hot metal itself.

“If hot metal is being wasted, how could the plant achieve a record production of over 21,000 metric tonnes in a single day?” he asked.