Losses of Pak Steel Mills reach over Rs170 billion, PAC told

[manojb]

Shut down the plant, once CPEC is ready you can import cheap steel from China

 

[cloud4000]

Instead of privatizing all of PSM, the government should sell a 51% stake and let it be run professionally by an outside investor. It may have to eat the losses incurred so far, but it's better than selling the thing for a song.

 

[Ahmer Rana]

Let us get our facts straight. Ittefaq Group surrendered their foundry & steel mill to the banks back in1998.. For the record Sharif Bros do not own any working steel factory in Pakistan.

Quote
Four industries owned by the family of former prime minister Nawaz Sharif and surrendered by them in 1998 to the creditor banks against a loan of about Rs3 billion have been purchased by a Faisalabad group for Rs2.15 billion.

Al-Rehmat Group of Companies from Faisalabad purchased the Ittefaq Foundries and the Brothers Steel at Kot Lakhpat, the Ittefaq Brothers at Shahdara and the Ilyas Enterprises on Bund Road for Rs2.159 billion.

Source: https://defence.pk/threads/pti-lesco-and-ittefaq-foundry.170728/#ixzz4NWCiXcEx

Unquote.

Similar to most industrialists, Sharif family are rogues, but why accuse them of something they are not guilty off?

PSM had been sold off by Shaukat Aziz to Al Tuwairqi Group for $362-milion back in 2006. However those with vested interest and opposed to Musharraf went to the Supreme Court that Musharraf had sold Pakistani asset to foreigners at a throw away price. Supreme Court was then headed by the vindictive anti-Musharraf CJ, Ch. Iftikhar and declared the sale invalid. Since then PSM has been losing about $250-milion each year. The national asset has lost more than $3-billion thus far. It will continue losing more.

Bitter truth being that PSM was built 40 years ago and now too old. Tata Group recently announced that it is pulling out of steel manufacturing in UK and closing Port Talbot Steel plant because of losses. This is because Chinese can produce steel plate so cheap that few plants can compete with it. Pray tell me, how can an inefficient 40 year old PSM survive?

PSM should be scrapped altogether and replaced by a state of the art steel mill. Since GOP has neither the spine to shut it down nor the funds to revamp it; PSM will continue to be a burden on Pakistan economy till kingdom come.

Well I came to know that they using rusted iron light polls(government property) by taking it to shareed family's steel mills and sell in them for orange line metro project.