Jagan Faces Steel Plant Land Sale Allegations: Pattabhiram Alleges Jagan Sought Sale of Visakha Steel Plant Lands
Pattabhiram claimed Jagan Mohan Reddy wrote to the Centre seeking land sales and delayed mining lease renewals, alleging these decisions weakened Visakha Steel Plant operations and finances.
Jagan Faces Steel Plant Land Sale Allegations: A fresh political controversy has erupted over the functioning of Visakha Steel Plant, with Swachh Andhra Corporation Chairman Kommareddy Pattabhiram accusing former Chief Minister YS Jagan Mohan Reddy of taking decisions that harmed the state owned steelmaker during his tenure.
Addressing the media at the TDP headquarters in Mangalagiri, Pattabhiram alleged that Jagan had proposed the sale of thousands of acres belonging to Visakha Steel Plant and suggested using the proceeds to support the company financially. He claimed to possess documents that were shown to reporters as evidence of communications sent to the Central Government.
Pattabhiram further alleged that key mining leases linked to the steel plant in Vizianagaram district were not renewed between 2019 and 2024. According to him, the delay in extending manganese and silica mining leases negatively affected raw material availability, resulting in a significant decline in production capacity.
He stated that the plant’s operational strength fell sharply during that period, with production capacity reportedly dropping by around 25 percent. He also pointed to a reduction in workforce numbers, claiming employee strength declined from nearly 17,000 in 2020 to about 14,800 by 2023.
Highlighting developments after the change in government, Pattabhiram said the coalition administration moved quickly to renew the pending mining leases. He claimed that these measures helped restore production capacity to more than 90 percent and improved the overall performance of the steel plant.
According to Pattabhiram, the revival efforts have already delivered positive financial results, with the plant reportedly registering profits of around Rs 54 crore. He argued that recent claims by Jagan opposing the privatization of Visakha Steel Plant contradict earlier communications allegedly sent to the Centre.
The remarks have added a new dimension to the ongoing political debate surrounding the future of Visakha Steel Plant, with both governance decisions and privatization concerns remaining key issues in Andhra Pradesh politics.
