Archive · 5 Sep 2026
Visakhapatnam Steel Workers Seek Captive Mines, SAIL Merger
Workers and supporters of Visakhapatnam Steel Plant want the government to help the plant get its own mines.
They also want the plant to join Steel Authority of India Limited.
They say buying raw materials without its own mines makes each tonne of steel about Rs 6,400 more expensive.
Supporters believe a merger could lower these costs.
They alleged that many contract workers are losing their jobs.
They also alleged that some workers’ Aadhaar cards were blocked.
The group said workers were facing heavier workloads and pressure linked to privatisation concerns.
It further alleged that much of the Rs 11,400 crore provided by the Centre was being used for bank payments rather than repairs and worker support.
The Visakha Ukku Parirakshana Porata Committee demanded captive mines for Visakhapatnam Steel Plant.
The committee also sought merger of the plant with Steel Authority of India Limited.
Chalasani Srinivas said the lack of captive mines adds about Rs 6,400 per tonne to production costs.
The committee alleged that contract workers were being removed and their Aadhaar cards blocked.
Representatives alleged that Rs 11,400 crore was being used mainly for bank payments instead of plant repairs and worker welfare.
- Who
- The Visakha Ukku Parirakshana Porata Committee, Chalasani Srinivas and other representatives made the demands.
- What
- They sought captive mines for Visakhapatnam Steel Plant and its merger with Steel Authority of India Limited.
- When
- The demands were made at a press conference on Friday.
- Where
- Visakhapatnam, Andhra Pradesh.
- Why
- They said captive mines and a merger could reduce production costs and protect the plant and its workers.
- Main demand
- Allocate captive mines to Visakhapatnam Steel Plant.
- Merger proposal
- Merge Rashtriya Ispat Nigam Limited, which operates Visakhapatnam Steel Plant, with Steel Authority of India Limited.
- Estimated cost burden
- About Rs 6,400 per tonne of steel due to the absence of captive mines.
- Centre allocation
- Rs 11,400 crore was allocated, according to committee representatives.
- Worker concerns
- The committee alleged contract-worker removals, Aadhaar-card blocking and increased workloads.
- Disputed use of funds
- The committee alleged that funds were largely being used for bank payments rather than machinery repairs, plant development and worker welfare.