I am sure that apart from benefitting the steel industry in India : Beni Prasad Verma
INVC,, Delhi,, Two Memorandum of Understanding (MoUs) of Public Sector Undertakings of Ministry of Steel with Ministry of Railways were signed here today. An MoU of NMDC Limited, a Navratna PSU under the administrative control of Ministry of Steel and the Indian Railways in the presence of the Union Minister of Steel, Shri Beni Prasad Verma and Union Minister for Railways, Shri Pawan Kumar Bansal here today. RINL, a PSU under the Ministry of Steel, has also signed an MoU with the Indian Railways for setting up a forged wheel factory at Rae Bareli, Uttar Pradesh. As per the provisions of the MoU, the 150 km Jagdalpur - Kirandul section of the Kottavalsa - Kirandul line of the East Coast Railway will be doubled to augment the evacuation capacity of NMDC to meet the increased demand for iron ore of the Indian steel industry. Speaking on the occasion, Shri Beni Prasad Verma said that this will usher in an era of growth dedicated to the service of the Nation. He said, “I am sure that apart from benefitting the steel industry in India, the doubling of the railway line will transform the lives of the local tribal population in Bastar, Chattisgarh and adjacent states of Odisha and Andhra Pradesh.” Speaking about the setting up of the forged wheel factory Shri Verma said that the unit will be a specialized unit catering to the need for special grade wheels for high speed trains. He further added that setting up of the factory will considerably increase the industrial activity in the region and generate employment opportunities for the youth of the state. Shri Pawan Kumar Bansal said that the proposed partnerships would provide the much needed impetus to investment in railway infrastructure and increase evacuation capacities from mines, plants and ports and freight traffic for the Railways. He also added that the proposed forged wheel factory would go a long way in meeting the future requirements of wheels for Indian Railways. Shri Bansal said that these two MoUs are good example of the synergy between Ministry of Railways and Ministry of Steel who have been partners for many years in developing country’s infrastructure. These projects also present a new innovative financial funding for infrastructure projects. The MoU for doubling of railway line was signed between Shri Vinay Mittal, Chairman, Railway Board and Shri C.S. Verma, CMD, NMDC. The project will be implemented by Indian Railways at a cost Rs.826 Crores and same will be funded by NMDC with provisions for suitable returns through freight rebate. The Railways will additionally make necessary investment in wagons, locomotives, other maintenance facilities and deployment of staff. The new line is likely to create an additional traffic of upto 12 million tonne per annum (MTPA) in a phased manner. The MoU for forged wheel factory was signed between Shri Keshav Chandra, Member Mechanical, Railway Board and Shri A.P. Choudhary, CMD, RINL. The Forged Wheel Factory being set up by RINL to supply forged wheels to the Indian Railways will have a capacity of producing 1,00,000 wheels every year. The factory, the biggest such plant in India will be completed within a schedule of 36 months at a cost of Rs. 1000 crores (Approximately) and will generate 500 to 600 jobs. The Raw material for the factory will be supplied by RINL’s plant in Vishakhapatnam in the form of Continuous Cast (CC) rounds. Also present on the occasion were the Secretary, Ministry of Steel, Shri D.R.S. Chaudhary and other senior officers of the Ministry of Steel and Ministry of Railway.