ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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SHAH COMMISSION S FINAL REPORT

will be in the setting up of a plant at Vizag. Originally it was envisaged as only a blast furnace complex for the production of pig iron for export to the Soviet Union. The pig iron exports would be made on the compensation principle, that is, in repayment of the supplies of services and equipment for the plant from the Soviet Union. The scope of this project has now been enlarged in the light of the pick up in domestic demand. It is now proposed to be an integrated steel plant with 4 million tonne capacity, which will be established in stages. At this point, the project is based on the assumption that the plant will be capable of producing 4 million tonnes of pig iron. Half the pig iron produced in this plant will be exported to the Soviet Union and the other half will be converted into billets and finished steel. Teams of consultants from both sides are currently going into the project details and these studies are expected to be completed in another six months. The Planning Commission has been already formally approached to accept the project as a Sixth Plan scheme.

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