India’s leading steel maker Steel Authority of India Limited will produce small volumes of head hardened steel rails, which needs special heat processing to withstand 50% more pressure compared to normal rails, on trial basis aiming to deliver supplies to high-speed freight rail corridors under construction across the country. SAIL Director Finance Mr Anil Tulsiani told analyst in investor call “The head hardened rail is still under trial and we will be of course producing some quantity in this year but once the trials are successful then we will be able to finalize how much quantities we can produce for the head hardened rail.” Mr Tulsiani, while answering a query regarding price revision of rails for Indian Railways said that “We have booked INR 489 crores in April-June 2022 quarter after raising invoices for this so the money will start coming for this and this is actually just a provisional figure which they have given us. Since we have already submitted the pricing for 2020-2021 to the chief advisor cost the organization which finalizes the price for us so we expect something like around about INR 5000-6000 extra for 2020-2021 and this price whatever they have given it is basically for 2021-2022, a provision of INR 5000 increase. This will also further go up once we submit our pricings to the CA cost so this is an ongoing affair till probably all these costs are finalized up to 2021-2022.” Mr Tulsiani also said that rail realization in the last year was at around INR 62,000 and Indian Railways given us an increase of INR 5000 in this year.
India’s leading steel maker Steel Authority of India Limited will produce small volumes of head hardened steel rails, which needs special heat processing to withstand 50% more pressure compared to normal rails, on trial basis aiming to deliver supplies to high-speed freight rail corridors under construction across the country. SAIL Director Finance Mr Anil Tulsiani told analyst in investor call “The head hardened rail is still under trial and we will be of course producing some quantity in this year but once the trials are successful then we will be able to finalize how much quantities we can produce for the head hardened rail.” Mr Tulsiani, while answering a query regarding price revision of rails for Indian Railways said that “We have booked INR 489 crores in April-June 2022 quarter after raising invoices for this so the money will start coming for this and this is actually just a provisional figure which they have given us. Since we have already submitted the pricing for 2020-2021 to the chief advisor cost the organization which finalizes the price for us so we expect something like around about INR 5000-6000 extra for 2020-2021 and this price whatever they have given it is basically for 2021-2022, a provision of INR 5000 increase. This will also further go up once we submit our pricings to the CA cost so this is an ongoing affair till probably all these costs are finalized up to 2021-2022.” Mr Tulsiani also said that rail realization in the last year was at around INR 62,000 and Indian Railways given us an increase of INR 5000 in this year.
