SAIL to Invest $800 Million in New Rail Mill, Says Chairman Prakash.

Steel Authority of India Ltd (SAIL) is set to establish a new rail mill with an investment of $800 million, despite the absence of confirmed orders from its largest buyer, Indian Railways, Chairman Amarendu Prakash announced recently.

Speaking at the Global Business Summit (GBS) in the national capital, Prakash highlighted the company’s strong confidence in the domestic rail demand, attributing it to the government’s growth-oriented policies.

“Last week, we decided to invest $800 million in a rail mill because I am confident that railways will continue to grow and will have to buy from us. This kind of decision is possible when we have clarity on policies that support growth,” Prakash stated.

SAIL has been engaging with Indian Railways for the past seven years to understand future procurement plans, but no long-term commitments have been made. Despite this uncertainty, the company has decided to move forward with the investment, betting on sustained infrastructure expansion.

SAIL currently manufactures rails at its Bhilai Steel Plant in Chhattisgarh and produces forged wheels at its Durgapur Steel Plant in West Bengal. The new rail mill is expected to enhance the company’s production capacity to meet anticipated demand in the coming years.

HBL