Pakistan Steel Mills losses revealed to reach 600 billion rupees

(Islamabad) It has been revealed that the losses of Pakistan Steel Mills have reached 600 billion rupees.

According to Cabinet sources, a meeting of the National Assembly’s Standing Committee on Industries and Production was held under the chairmanship of Syed Hafeezuddin, during which it was disclosed that the losses of the Steel Mills stand at 224 billion rupees with a payment burden of 335 billion rupees.

In the meeting, the Chief Financial Officer of the Steel Mills, Muhammad Arif revealed that encroachment has occurred on 305 acres of land. The Steel Mills owes 258 billion rupees to the federal government and the National Bank with 102 billion rupees owed to the National Bank and 156 billion rupees owed to the federal government. Incidents of theft are still occurring in the mills.

Federal Minister Rana Tanveer stated that approximately 5,000 acres of land will be developed into special economic zones and 700 acres will be allocated to the Sindh government for the current plant. Companies from Russia and other countries have shown interest in operating the Steel Mills.

He mentioned that the federal government lacks the capacity to revive the Steel Mills adding that to support a 2 billion rupee battery, the mills require 6 billion rupees worth of gas annually. He also emphasized that no housing societies will be allowed on the land sold by the mills.

On the other hand, Cabinet Committee member Abdul Hakeem Baloch noted that there are many eyes on the land of the Steel Mills and the number of employees has reduced from 9,000 to just 2,000.

In response, Chief Financial Officer Muhammad Arif stated that a sub-committee has been formed under the chairmanship of Naz Baloch to conduct an investigation into the Steel Mills.