Caretaker Federal Minister for Industries and Special Initiatives Salmaan Taseer has said Pakistan Steel (PS), which has become financially strong due to the reforms and steps taken by the management, is now capable to meet the country's steel requirement.
During his visit to Pakistan Steel, he lauded the performance of the PS during the last few years, and hoped that it would earn more profit in the future. He said although the PS was in the list of privatisation list, however "we are focusing on the production side and to enhance the production of mills up to three million tonnes in the next few years.
"The privatisation process would be continued and the next government would consider it whether privatise it or not," he said. Referring to increase in steel demand the world over, Salman Taseer said it was necessary for the PS to enhance its production capacity. He appreciated the performance of Pakistan Steel employees, who were satisfied and happy with the developments in the institution.
Talking to newsmen Pakistan Steel Chairman Major General Muhammad Jaweed said that PS had decided to use the local coal and iron ore to save some 16 million dollars in foreign exchange per year. He said the PS had earned profit of Rs 4.6 billion during the last fiscal, while the net profit was Rs 3.1 billion."We are expecting that current year's operating profit would be higher than the last fiscal year's," he added.
He said the PS had fixed the sale target for the current fiscal year at Rs 36 billion, and hoped that it would be achieved during the first half of 2008 fiscal, as the PS sales had touched Rs 18 billion-mark.
"The PS has almost finalised a deal with a Chinese company for the purchase of slurry - a iron raw material - and Chinese company, operating at Saindak project, would start supplying slurry form March 2008," he said. He said that two deals of 45,000 tonnes of coal from Balochistan and 50,000 tonnes of iron ore from local suppliers had also been finalised.