Corona Virus has had its impact on various industries across the globe. The steel industry also has been hugely impacted. This impact is going to be easily felt over a period of next 2-3 years. Let’s explore what Sunflag Steel is doing to handle this crisis.
There is an odd silver lining to this crisis. Since China has been the lead producer of the alloy, this is a good chance for India to enhance its production and aim for a larger global market share. Operations across different manufacturing units are running at minimum holding. Semi-finished inventories need to be stored. Currently, the manufacturers are looking for export opportunities and are also waiting for supporting government policy announcements.
Sunflag Steel is also following the guidelines issued by WHO. Besides WHO guidelines, every country has its own set of guidelines and suggestions. Sunflag Steel is keeping up to date all regulations and rules concerned with health and control of pandemic COVID-19. Communication guidelines have been framed for employees and specific steps have been outlined for them to take proper protective steps to safeguard themselves and their families.
The company spokesperson had issued a statement following the government directions: “Pursuant to the provisions of Regulation 30 of the Securities and Exchange Board of India (Listing Obligations & Disclosure Requirements) Regulations, 2015 as amended [Listing Regulations], we wish to inform you that the Government of Maharashtra issued directions for closure of Production and Operations at its facility located at Warthi, Bhandara Road, Bhandara in the State of Maharashtra in order to prevent and contain the spread of Corona Virus (COVID-19). Accordingly, the operations of our Plant situated at Warthi, Bhandara Road, Bhandara in the State of Maharashtra have been closed with effect from 24th March, 2020. The resumption of the operations at Plant would depend on the directions that would be issued by the Governments of Maharashtra from time to time.”
The company is taking precautions to protect its employees from the coronavirus. There are specific travel advisories issued against foreign travel. Domestic travel is allowed only where it is absolutely essential.
Unfortunately, work from home is not a viable option for manufacturing units. Conventionally, manufacturing firms have had better levels of productivity with more workforce on the floor. Most of the functions cannot be performed in isolation. Those have come to a standstill until it is safe for employees to work again.