RSEA protests plant’s proposed divestment
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The Retired Steel Executives’ Association (RSEA) staged a protest on the Visakhapatnam Steel Plant on Thursday demanding that the plant be saved within the public sector.
They raised slogans in opposition to the proposal of the Centre to privatise the plant. Those who participated within the dharna embrace former ED (MM) S.N. Rao, former firm secretary K.M.A. Narayana Swamy, former common managers Murali Mohan and E.M.S. Sastry, AITUC State chief Obulesu and K. Peddiraju.
In a letter to the Prime Minister, RSEA president Maturi Srinivasa Rao and secretary Dadi Siva Ramu recalled the sacrifices made by the individuals of Andhra Pradesh for the institution of the metal plant and that 32 individuals sacrificed their lives within the agitation for the metal plant.
After loads of teething troubles, the plant had stabilised and it had began its manufacturing in 1991. The metal plant had gone by troublesome phases and achieved a turnaround from the place of going to BIFR, to creating money income, with the onerous work and dedication of its workforce. The losses that VSP is alleged to be accruing are solely operational with the first motive being non-availability of captive iron ore mines, they mentioned.
“Since 2007, its silver jubilee year, there have been promises that VSP will be sanctioned captive mines. Never was this promise made good, but many private steel companies were sanctioned captive mines. VSP had to compete with private companies and also with China steel companies, without a level-playing field. Despite these difficulties, till 2015, VSP has been making profits. Thereafter, the situation has worsened because of trade cycle effects. Fortunately, this year it is coming back to normalcy with prices of steel going up, and the company has started making profits. If captive mines are sanctioned, VSP can compete with any private company even internationally,” the protesters mentioned.
As per Article 39(b) of the Constitution of India beneath the Directive Principles of State Policy, the State shall, specifically, direct its coverage in direction of securing that the possession and management of the fabric assets of the neighborhood are so distributed for widespread good, they mentioned.
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