Vizag Steel gets 'Excellent' rating

Visakhapatnam Steel Plant (VSP) has achieved the 'Excellent' rating by obtaining a composite score of 1.00 from the department of public enterprises for the year 2002-03.

This score is the best among the public sector enterprises like Steel Authority of India Limited (SAIL), Kudremukh Iron Ore Company Limited (KIOCL), and Minerals Scrap Trading Corporation (MSTC) under the ministry of steel.

The steel plant bagged the 'Excellent' rating by surpassing all the targets set in the memorandum of understanding (MoU) with public sector enterprises.

"The plant produced 3.056 million tonnes (mt) of saleable steel, which corresponds to the target fulfilment of 114 per cent and a capacity utilisation of 115 per cent. For 2002-2003, VSP aimed at achieving 2.675 mt saleable steel, which was above the rated capacity of 2.656 mt. On the financial front, the plant targeted a gross margin of Rs 657.19 crore and a net loss of Rs 101.18 crore. Incredibly, VSP surpassed all the targets and achieved a gross margin of Rs 1,098 crore. Against the targeted net loss, it accrued a net profit of Rs 521 crore," a release said on Monday.

Prior to this achievement, Visakhapatnam Steel Plant was awarded merit certificates for achieving excellent MoU rating in 2000-01 and 2001-02.

This year's composite score of 1.00 is an improvement over that of 2001-02, when the Vizag steel plant had achieved a composite score of 1.02.

The composite score of 1.00 during 2002-03 is the best that a company can achieve, and the steel plant achieved this rare distinction for the first time, the release added.