Jindal Steel bags order to supply 1 lakh tonnes of long rails
The stock of Jindal Steel has gained after two days of consecutive fall as the market digests the news of the steel major emerging as a winner in the prestigious first ever global tender for supply of Rails by Indian Railways.
A small contribution towards the success of Make in India initiative has been made by Jindal Steel and Power Limited (JSPL) as the company won a global tender that saw participation from eight bidders which included world’s seven topmost manufacturers of Rails. JSPL has won the order to supply 1 lakh tonne of Rails over a period of one year. The company is the only private sector manufacturer of Rails in India.
With this first order from Indian Railways, JSPL is aiming to increase its participation in proposed railway infrastructure modernization in the upcoming years. It has 1 Million Tonne Per Annum (MTPA) Rail Mill at its 3.6 MTPA integrated steel plant at Raigarh, Chhattisgarh.
Till now, JSPL has already supplied Rails to national railways of Iran and Bangladesh and also to Dedicated Freight Corridor of India. It has capabilities to manufacture single piece rails of upto 121 metre length and upto 480 metres with three welds for higher durability of Rails.
On Friday, the stock of JSPL opened at Rs. 202.15 per share on BSE. It surged by 2.6 percent and made intra-day high of Rs. 206.60.