Vizag Steel Turnover Up To Rs 1,458 Cr

According to the performance report for the period April-September, 1996 released at Visakhapatnam yesterday, production of hot metal during the six month period was 15.71 lakh tonnes (against the target of 16.78 lakh tonne), liquid steel 11.65 lakh tonne(against the target of 14.79 lakh tonne) and saleable steel 9.94 lakh tonne(against the target of 12.05 lakh tonne).

A highlight of the performance in the first half of this year is that production of value added items increased to 54,235 tonne against 32,883 tonne during the corresponding period last year. VSP has set a production target of 1.25 lakh tonne of value added items during 1996-97 as against actual production of 65,509 tonne last year. On the marketing side, VSP sold 10.14 lakh tonne of steel (8.36 lakh in the domestic market and 1.78 lakh tonne for export) and 1.85 lakh tonne of pig iron ( 80,000 tonne for domestic market and 1.056 lakh tonne for export).

 

While domestic sale of steel went up by 19 per cent in terms of volume and there was two per cent decline in the export of steel.

Due to its new marketing strategy during the first six months of this year, VSP was able to sell 1.35 lakh tonne of steel to projects as against 74,900 tonne during the corresponding period of last year, representing an 80 % growth.

This year, VSP made special efforts to step up its project sales by offering complete range of products as per the requirements of projects, commit itself to a six month firm price, offer unsecured credit and ensure door delivery.

Some of the customers with whom VSP entered into project sale arrangements include, RIL, Sardar Sarover Project and the URI Project in Jammu and Kashmir. VSP is setting up service centres/stockyards at Mumbai, Chennai, Hyderabad.