Dwindling iron ore stocks at the Visakhapatnam steel plant — Rashtriya Ispat Nigam Ltd — are causing concern, according to sources.
The situation continues to be critical, with no improvement in supply of the raw material from the Bailadilla mines of the National Mineral Development Corporation (NMDC).
The transport of iron ore to the plant through the usual Kirandul-Kothalavalasa (K-K) railway line was suspended following a landslide near Anantagiri last month due to the damage to the track and a railway bridge. However, Indian Railways is supplying rakes and bringing ore through the Rayagada-Vizianagaram route.
Railways sources have issued a clarification that there is no problem of rakes and rakes are being supplied in accordance with NMDC’s indent.
“The amount due to NMDC by RINL has to be paid to increase the indent for supply of rakes,” a source in the Railways said. The present stock of iron ore may last for only a few days.
Railway sources said 96 rakes had been supplied in September, 87 in October and 72 as on November 27, in accordance with the indent given by NMDC. More rakes would be supplied if NMDC placed an indent.
RINL sources said the plant was getting two to three rakes (each carrying 58 wagons) against the normal requirement of 5-10 per day, to keep adequate buffer stocks.
RINL is trying to get iron ore from the Orissa Minerals Development Corporation (OMDC), Neelachal Ispat Nigam Ltd in Odisha and Donimalai mines in Bihar.