New Delhi: Jindal Steel and Power Limited (JSPL) bags one of the most talked about and highly anticipated Indian Railways global crore tender. The estimated value of the tender is Rs 25,000 crore and JSPL will cater to 20% long rails requirement of railways.
Steel Authority of India (SAIL), till now was catering to the demand of Indian Railways. They were providing ‘long rail’ to the railways. This time however, SAIL expressed their inability to meet the demand of rails. It is then Indian Railways invited tenders from global players.
With JSPL winning the tender, they will now meet the 20 percent of the deficit demand. SAIL will be meeting 80 % of the total demand. The estimated total requirement of Indian railways is 487,000 tonnes of rails.
NA Ansari, CEO of JSPL on an enthusiastic note informs that this is a historic moment for JSPL. It is indeed a great achievement to win a global bid. All the top manufacturers of the rails had participated in it.
Ansari also shares that this tender is just a beginning. Their company is looking to build long term relationship with Indian Railways. JSPL wishes to partner with the railways in building a modernised railroad network in India.
The CEO says that JSPL is looking to begin the project. The company is eyeing for faster deliveries in order to aid Indian Railways. Ansari says timely delivery will ensure development of planned rail track rollout.
With this tender SAIL’s monopoly ends and paves way for private players. It also for the first time that Indian Railways invited bids for long rails.
Other companies that participated in the bid include East Metals AG, Sumitomo Corp, CRM Hong Kong.
A fact to be noted is that JSPL is the only private manufacturer of long rails in the country. They export rails to several countries in Europe and Asia. They are also manufacturer of longest track rails in the world.
Jindal Steel’s Raigarh plant produces 121 metres long rail tracks and factory welds them upto 480 metres.
As per JSPL, long rails manufactured by JSPL aid in bringing down cost drastically in welded joints. It helps in offering enhanced safety, travel comfort and cost reduction.
Apart from long rails, JSPL also manufactures ‘head-hardened rails’. These are used for metro and high-speed rails and here too they are the sole Indian manufacturer.