Policy on global asset acquisition by PSUs soon, says PM

The government was working on a policy enabling public sector companies to step up the search for key raw material assets abroad, Prime Minister Manmohan Singh said today.

While public sector undertakings (PSUs) are aggressively looking at buyouts in sectors like oil and coal, they are yet to make a beginning in other sectors. In fact, India is much behind China, which had set out for overseas buys much earlier. Addressing a meeting of the Standing Conference of Public Enterprises, Singh said, “In some sectors, there is also a need for our public sector enterprises to explore global opportunities. In particular, we need to step up our search for raw material assets. The government is working on a policy to support our public sector enterprises in this effort.”

Talking to reporters on the sidelines of the meeting, Department of Public Enterprises (DPE) Secretary Bhaskar Chatterjee said the policy was expected to go to the Cabinet in two weeks. “We have received comments from oil, coal and mines ministries... it would go to the Cabinet in the next 15 days,” Chatterjee said.

The Prime Minister said the government was committed to a strong public sector in many areas of the economy. He said enterprises like Air India and BSNL “are receiving the due attention of the government”. The two companies are in losses following stiff competition from private sector players.

Singh also presented the SCOPE excellence award in the individual category as outstanding chief executive to NTPC Chairman Arup Roy Choudhury, and the jury’s special award to Coal India Ltd Chairman Partha S Bhattacharyya.

In the institutional category, PowerGrid Coporation Chairman S K Chaturvedi and Bharat Heavy Electricals Ltd Chairman B Prasada Rao received awards.