Islamabad, The Senate Standing Committee on Industries and Production convened at the Parliament House, led by Chairperson Senator Khalida Ateeb. Committee members expressed concern over the Minister for Industries and Production’s absence and emphasized the importance of his attendance for future clarity. Key points of discussion included the current status of Pakistan Steel Mills’ privatization and the roles and functions of the Sugar Advisory Board.
According to a news release by the Senate of Pakistan, the privatization progress of Pakistan Steel Mills (PSM) was a central topic. Jawad Paul, Secretary of the Privatisation Division, updated the committee about PSM’s inclusion in the Privatisation list from June 17, 2019. Though four Chinese firms initially showed interest, three withdrew due to global steel demand downturns and unfavorable economic circumstances. On October 6, 2023, with only one remaining bidder and concerns about transparency, the Privatisation Commission Board decided to suspend the privatization effort. A Technical Due Diligence report estimated an investment of around US $584 billion would be required to return the Steel Mills Plant to its original production capacity of 1.1 million metric tons per annum. The issue has now moved to the Federal Cabinet awaiting a final verdict. Representatives from PSM revealed that the organization, despite yielding Rs. 5 billion in sales revenue, faces a Rs. 12.8 million loss from scrap theft and a larger annual loss of around 30 billion rupees.
The Committee’s dissatisfaction centered on the non-adherence to its recommendations, noting the continued theft at PSM even with the presence of over 500 security personnel. The Committee called upon the Ministry of Industries and Production to lay out their vision for PSM’s future at their subsequent gathering.
The meeting also shed light on the Sugar Advisory Board (SAB). Officials detailed that the Board consists of various ministers, secretaries, chairpersons from the Pakistan Sugar Mills Association and Association of Farmers, with each provincial government also being represented. The main objective of SAB is to advise on sugar demand, sugarcane production, and anticipated prices of sugarcane and sugar. With the Federal Board of Revenue’s (FBR) assistance, a track and trace system has been established in every sugar mill. The Committee acknowledged the efforts of the Sugar Advisory Board, hoping for its crucial role in curbing sugar smuggling and maintaining sugar price stability in the nation.
The assembly was graced by Senator Saifullah Sarwar Khan Nyazee, Senator Fida Muhammad, and Senator Zeeshan Khanzada, along with senior figures from the Ministry of Industries and Production, Pakistan Steel Mill, and the Privatisation Division.