Upgrade For Durgapur Alloy Steels Plant: The Steel Authority of India Limited (SAIL) has approved a major investment of Rs 1,714 crore to upgrade its Alloy Steels Plant (ASP) in Durgapur, West Bengal. The decision has raised fresh hopes for the factory, which has faced years of financial losses and uncertainty over its future.
The approval was given during SAIL’s 537th board meeting on September 25. The modernisation will take place in two phases. The first phase has received approval, while the second phase is still waiting for final clearance. Once all approvals are in place, the complete project is expected to take around 30 to 36 months.
The investment will be used to improve the plant’s infrastructure and make its production system stronger. SAIL also aims to improve the manufacturing of finished steel products. Details about the exact starting date, new jobs and the expected rise in production capacity haven’t been announced yet.
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Durgapur Plant’s Past And Plans For Revival
The Alloy Steels Plant has a long history of producing special steel used in important industries. Its products have been used in defence equipment, including steel sheet linings for Bofors guns used by the Indian Army. Steel from the plant has also gone into components for Vande Bharat trains and rockets developed by ISRO.
But the factory faced a major problem. It could produce good-quality raw steel but didn’t have enough facilities to turn it into finished products. Much of its steel was sent to SAIL’s Salem and Bhadravati plants for further processing. High marketing costs also made it difficult to compete with foreign companies.
In recent years, continuous losses and rumours about shifting or closing the factory created fear among workers. The Central government’s plans for liquidation and disinvestment also raised concerns about privatisation. The Trinamool Congress (TMC) organised protests against the move. SAIL later decided to merge ASP with Durgapur Steel Plant (DSP) as part of efforts to protect the factory.
Political Leaders Welcome The Modernisation Project
The investment has received support from local political leaders. Durgapur West BJP MLA Laxman Chandra Ghodui said he had earlier approached the Union Steel Ministry to stop the plant from being privatised. He also said local people should get priority when new jobs are created.
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He said, “When the decision was taken to privatise this plant, I was the West Burdwan district president of BJP and I went to Delhi to talk to the Union Steel Minister and save this factory. Then, after becoming an MLA in 2021, I consistently approached the Union Ministry of Steel. Locals will be given priority in employment. Thanks to Prime Minister Narendra Modi and Chief Minister Suvendu Adhikari, Durgapur will start dreaming anew.”
Durgapur East BJP MLA Chandrasekhar Banerjee also welcomed the decision. He said, “Durgapur has started a renaissance. With the hands of the Chief Minister and the Industries Minister, the tide of industry is coming to this state, Durgapur will not be left behind. Efforts will be made to bring back all our youths who have gone out for work.”
Workers Welcome Investment, But Seek New Jobs
Plant employees and workers’ unions have also welcomed the project. But they want the government to provide more details about recruitment because a shortage of workers has affected the factory.
Employee Shankar Pal said, “Investment always plays a positive role in the revival of factories. But in the case of Railways, as several projects have been given by the Center on PPP model, it is terrible in public sectors. Lack of recruitment of new workers is one of the main problems of ASP. If a factory is understaffed, it will be in trouble. But we welcome the decision to modernise it.”
Alloy Steels Workers’ Union district president Subhash Saha called the approval a victory for workers who have been fighting to save the factory. He said, “This is a victory for the workers’ long-standing struggle. If this modernisation and expansion work is completed, it will be possible to keep the production process running at the factory for decades to come.
Mrinmoy Bandyopadhyay of Bharatiya Mazdoor Sangh also welcomed the plan. He said it could help educated young people find jobs in their hometown instead of moving to other cities for work.
