Steel minister Beni Prasad Verma today asked SAIL to initiate steps to improve profitability

RELATED ARTICLES SAIL registers sharp 72% decline in profit at Rs 446.53cr

and complete the modernisation at the earliest.

"The Minister expressed his concern over the decrease in profit of the company and asked SAIL Management to take necessary steps to improve the same.... Verma asked SAIL to take up all modernisation work on priority and complete them at the earliest and also for improving its efficiency," an official statement said here.

Steel Authority of India Ltd (SAIL) has reported 23% decline in net profit at Rs 484 for its third quarter (October-December) due to lower sales realisation.

The steel giant is in the process of expanding production capacity to nearly 24 million tonne per annum (MTPA), from existing 14 MTPA, involving an investment of Rs 72,000 crore. Of this, the steelmaker has already placed orders worth Rs 58,000 crore.

During the third quarter performance review of the company, Verma congratulated SAIL "for crossing the Rs 40,000 crore networth mark for the first time in this year, since inception of SAIL," the statement said.

It said the minister noted that in Q3 of 2012-13 fiscal, SAIL has recorded sales growth of 5.1% and production growth of 1.8% in saleable steel as against Q3 of last fiscal, besides registering improvement in techno-economic parameters.

"Acknowledging successful efforts in the R&D area, Verma appreciated SAIL Bhilai Steel Plant for supplying tailor-made special soft iron magnetic plates for the prestigious India- based Neutrino Observatory project of Bhabha Atomic Research Centre," it said.

He also encouraged SAIL's plants in Bokaro and Salem for starting production of special HR Coils, for the Indian Railways.