JSPL wins over 20% of Railways' Rs 2.5K cr global long rails tender
New Delhi: Jindal Steel and Power Ltd (JSPL) on Tuesday bagged 20 per cent of the Rs 2,500 crore global tender by the Indian Railways to supply long rails, its Chairman Naveen Jindal said on Tuesday. The national transporter had invited the global tender for procuring around 4.87 lakh metric tonnes of rails to meet the shortfall of supply from the state-run Steel Authority of India Limited (SAIL).
This is the first time in three decades that rail procurement has been opened for the private sector. JSPL Chairman Jindal, during a conference here on 'Steel Scenario: Today and Tomorrow', informed that his company has won 20 per cent of the tender floated by the Railways.
"We got the order for the rail.... We have been in business since 2003. After 15 years, for the first time, we are amongst the one ... As only the second Indian producer (after SAIL), we have got 20 per cent of the order," Jindal said during the conference where Steel Minister Chaudhary Birender Singh stressed on the need for participation of Indian companies in major infrastructure projects.
Sources said that the value of the order bagged by JSPL comes to about Rs 536 crore. The financial bids for the order were opened last week in which seven foreign steel companies and JSPL from India had submitted its bids.
JSPL was the only Indian steel maker in the fray, and was expected to get an assured order of 20 per cent under the 'Make in India' clause. "It is a historic moment for the company. We were trying for long. It is a proud moment for India. We will start supplying soon," Jindal said after the conference.
N A Ansari, CEO, JSPL Steel Business said the company would dispatch the first consignment in August. JSPL is the only private company that produces rails in India. It was already supplying rails to various countries like Iran and Bangladesh.