LCCI urges govt to revive Pakistan Steel Mills

Officials say steel import is eating into foreign exchange reserves

LAHORE: Irked by the miserable state of affairs at the Pakistan Steel Mill (PSM), the Lahore Chamber of Commerce and Industry (LCCI) has urged the government to take immediate steps for its revival.

In a statement issued on Wednesday, LCCI President Malik Tahir Javed, Senior Vice President Khawaja Khawar Rasheed and Vice President Zeshan Khalil said that the depressed condition of the mill is a matter of concern. The corporation was once a highly profitable public sector enterprise and the largest steel producer in the country, but is now on the verge of collapse due to negligence.

They said that policymakers should be aware that PSM is not only a major source of steel products for various domestic industries but also has vital importance for the defence industry.

The officials said that due to almost zero production at PSM, the domestic industry is relying on imported hot rolled, cold rolled and galvanised steel and huge foreign exchange is being spent for this purpose.

The officials believed that the situation could be handled through good policy approach but some elements were tarnishing the image of the current regime by destroying this enterprise.

Citing annual losses worth Rs600 billion caused by PSEs, they demanded the government take measures on war footing to make these organisations profitable.

Published in The Express Tribune, November 30^th, 2017.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.