The future of Pakistan Steel Mills hangs in the balance as it is conspicuously absent from the latest list of the government’s privatisation program. Despite being deemed urgent for loss-making public enterprises like steel mills and PIA, the Caretaker Federal Minister for Privatization asserts that rehabilitation or privatisation is not currently feasible.
The Privatization Division Secretary recently disclosed staggering financial losses of 206 billion in the last fiscal year for the steel mills, with a continuous upward trend. While progress is being made on the privatisation of other institutions, including PIA, obstacles such as political opposition and court decisions persist, negatively impacting the nation.
Globally, the consensus leans towards private sector involvement instead of government control for efficient operation. The failed experiment of nationalisation in the 1970s, which led to denationalisation for economic recovery, serves as a stark reminder. The imperative now is to forge a national consensus and proceed with the privatisation process to prevent the wastage of national resources.
Looking ahead to the future of vital institutions like steel mills, a prudent decision necessitates broader consultation. There is a proposal from the Federal Minister for Privatization to transform the steel mills into an export promotion zone. If deemed appropriate, swift implementation is crucial to avoid further delay.
MUHAMMAD AMIN, Kech.