The government is likely to permit PSU steel makers Steel Authority of India (SAIL) and Rashtriya Ispat Nigam (RINL) to charter ships directly for their imports of raw material, which would result into improvement of operational efficiency of the latter. Currently, imports by the steel PSUs are done through ships chartered by Transchart, a state-owned enterprise operated by Shipping Corp of India (SCI). However, as per current practice all Central Public Sector Units (CPSUs) need to import cargoes with centralized shipping arrangements to be made through Transchart.
Both the companies had urged for their own shipping arrangements for imports, particularly at a time when their import bill is set to rise manifold following on-going capacity expansions. The two companies together import around 14-15 million tonnes of raw materials in a year.
