Lok Sabha Question No. 5247 (UNSTARRED), answered on 2018-03-27
Subject: Loss Making PSUs
Ministry: HEAVY INDUSTRIES AND PUBLIC ENTERPRISES
Asked by: RAM TAHAL CHOUDHARY, MANSUKHBHAI DHANJIBHAI VASAVA, BANSHILAL MAHTO

## GOVERNMENT OF INDIA MINISTRY OF HEAVY INDUSTRIES AND PUBLIC ENTERPRISES DEPARTMENT OF HEAVY INDUSTRY

## LOK SABHA

## UNSTARRED QUESTION NO.5247 TO BE ANSWERED ON 27.03.2018

## Loss Making PSUs

5247.   SHRI RAM TAHAL  CHOUDHARY: SHRI MANSUKHBHAI DHANJIBHAI VASAVA: DR. BANSHILAL MAHATO:

Will the Minister of HEAVY INDUSTRIES AND PUBLIC ENTERPRISES be pleased to state:

- (a) the details of sick Public Sector Undertakings (PSUs) under the administrative control of his Ministry along with the accumulated loss of such PSUs during the last three years, State and PSUwise;

(b)  whether  the  Government  is  planning/has  prepared  any  action  plan  to  attract  investment  in sick PSUs or revive such PSUs in the country;

- (c) if so, the details and the status thereof;
- (d)  whether  the  Government  has  any  proposal  to  set  up  more  PSUs  in  the  country  including Chhattisgarh; and
- (e) if so, the details thereof, State/UTwise?

## ANSWER MINISTER  OF  STATE IN THE MINISTRY OF  HEAVY INDUSTRIES AND PUBLIC ENTERPRISES (SHRI  BABUL SUPRIYO)

- (a): Details are annexed.

(b)  &  (c):  The  Department  of  Heavy  Industry  (DHI)  does  not  have  any  action  plan  to  attract investment in the sick Central Public Sector Enterprises (CPSEs)  which  are  under  its administrative control. However, the details of investment in these CPSEs are available in Public Enterprises Survey 2016-17, laid in both the houses of the Parliament on 13 th March, 2018. DHI  undertakes  appraisals  of  each  loss-making  CPSE  wherein  appropriate  response  to  the performance of individual CPSE is determined in consultation with stakeholders after periodic appraisal.  CPSEs found  chronically  sick  are  disinvested  or  closed  down  after  payment  of attractive Voluntary Retirement Scheme (VRS) / Voluntary Separation Scheme (VSS) and due compensation  to  employees.   Government  has  decided  to  close  some  CPSEs  which  were incurring  huge  losses  since  long  and  had  no  potential  to  turn-around  in  the  current  economic scenario. These CPSEs suffered with sickness due to a number of factors including poor order booking,  shortage  of  working  capital,  surplus  manpower,  obsolete  plant  and  machinery,  stiff competition  from  private  sector,  cheaper  imports and  difficulty  to  adjust  to  changing  market conditions.

- (d): There is no such proposal under consideration of DHI at present.
- (e): Does not arise.

## ANNEXURE

| S. No.   | Name of CPSE                                 | State          | Details of Loss (Rs. in Lakhs) *   | Details of Loss (Rs. in Lakhs) *   | Details of Loss (Rs. in Lakhs) *   |
|----------|----------------------------------------------|----------------|------------------------------------|------------------------------------|------------------------------------|
|          |                                              |                | 2014-15                            | 2015-16                            | 2016-17                            |
| 1        | Bharat Pumps and Compressors Ltd.            | Uttar Pradesh  | -5504.00                           | -7506.00                           | -8447.00                           |
| 2        | BHEL - Electrical Machines Ltd.              | Kerala         | -396.00                            | -298.00                            | -424.00                            |
| 3        | H.M.T. Machine Tools Ltd.                    | Karnataka      | -13494.00                          | -10666.00                          | -12759.00                          |
| 4        | Heavy Engineering Corporation Ltd.           | Jharkhand      | -24169.00                          | -14477.00                          | -8227.00                           |
| 5        | Hindustan Cables Ltd.                        | West Bengal    | Approved for Closure.              | Approved for Closure.              | Approved for Closure.              |
| 6        | Hindustan Paper Corporation Ltd.             | West Bengal    | -33129.00                          | -37014.00                          | -37014.00                          |
| 7        | Hindustan Photo Films Manufacturing Co. Ltd. | Tamil Nadu     | -216436.00                         | -252791.00                         | -291716.00                         |
| 8        | HMT Bearing Ltd.                             | Karnataka      |                                    |                                    |                                    |
| 9        | HMT Chinar Watches Ltd.                      | Karnataka      | Approved for Closure.              | Approved for Closure.              | Approved for Closure.              |
| 10       | HMT Watches Ltd.                             | Karnataka      |                                    |                                    |                                    |
| 11       | Instrumentation Ltd.**                       | Rajasthan      | -14154.00                          | -17050.00                          | -9151.00                           |
| 12       | N.E.P.A. Ltd.                                | Madhya Pradesh | -4871.00                           | -7012.00                           | -6862.00                           |
| 13       | Nagaland Pulp and Paper Company Ltd.         | Nagaland       | -1538.00                           | -1739.00                           | -1447.00                           |
| 14       | Richardson and Cruddas Ltd.                  | Maharashtra    | -365.00                            | -1006.00                           | 1494.00                            |
| 15       | Sambhar Salts Ltd.                           | Rajasthan      | -983.00                            | -890.00                            | -855.00                            |
| 16       | Tungabhadra Steel Products Ltd.              | Karnataka      | Approved for Closure.              | Approved for Closure.              | Approved for Closure.              |
| 17       | Triveni Structurals Ltd.                     | Uttar Pradesh  |                                    |                                    |                                    |
| 18       | Tyre Corporation of India Ltd.               | West Bengal    | Under Liquidation.                 | Under Liquidation.                 | Under Liquidation.                 |

*  Source:  Public  Enterprises  Survey  2016-17,  laid  in  Parliament  on  13 th March, 2018.
- ** Govt. has decided for closure of Kota Unit of Instrumentation Ltd.

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