Andhra Pradesh CM Reaffirms Opposition to Visakhapatnam Steel Plant Privatization

Andhra Pradesh Chief Minister Y.S. Jagan Mohan Reddy met with senior leaders of trade unions representing the Visakha Ukku Parirakshana Porata Samithi on Tuesday to discuss the central government's move to privatize the Visakhapatnam Steel Plant (VSP). During the meeting, Reddy reiterated the state government's strong opposition to the privatization plan.

The chief minister emphasized that he has written to Prime Minister Narendra Modi proposing solutions to revive the struggling steel plant. "The permanent allocation of iron ore mines would significantly improve the plant's condition," Reddy stated, adding that he is constantly applying pressure on the central government for the revival of VSP.

Trade union leaders suggested that the state government should make efforts to merge RINL, the corporate entity of VSP, with the Steel Authority of India Limited (SAIL). They highlighted that similar attempts to privatize steel plants in other states had failed due to public agitation. The leaders also pointed out that the VSP was established after a prolonged 'Visakha Ukku Andhrula Hakku' movement in which 32 people sacrificed their lives.

Why this matters: The potential privatization of the Visakhapatnam Steel Plant has significant implications for the state of Andhra Pradesh and its workers. The outcome of this ongoing debate could impact the livelihoods of thousands of employees and the economic landscape of the region.

Reddy criticized opposition parties, including the TDP, JSP, and BJP, for abandoning their principles on the VSP issue. The chief minister assured the trade union leaders of the state government's unwavering support for their struggle against privatization, emphasizing that the permanent allocation of iron ore mines to the plant is crucial for improving its financial health.

Key Takeaways

• Andhra CM opposes privatization of Visakhapatnam Steel Plant (VSP)
• CM proposes permanent iron ore mines allocation to revive VSP
• Trade unions suggest merging VSP with Steel Authority of India
• VSP established after 'Visakha Ukku Andhrula Hakku' movement
• CM assures state's unwavering support to workers' struggle against privatization