ISLAMABAD, July 2: The government has decided once again to privatise Pakistan Steel Mills Corporation (PSMC), says Federal Minister for Privatization and Investment Mr Zahid Hamid.

“We are putting up for sale the country’s steel mills again and the process will begin with the issuance of Initial Public Offering (IPO) to be followed by its strategic sale to a potential investor,” he told Dawn.

The whole process, he pointed out, will be started within the next few months. “Steel Mills’ transaction has started afresh as directed by the Supreme Court of Pakistan,” he added.

The apex court had declared as invalid steel mills’ transactions on March 26, 2006 by saying that its privatisation was conducted in haste and in a non-transparent manner.

After the court’s decision, the minister said, the government took the matter to the Council of Common Interests (CCI) which after having been reconstituted reaffirmed the privatisation of the Mills on August 2, 2006. The Council had originally allowed the Steel Mills’ privatisation on May 29, 1997.

Responding to a question, he said that the IPO of the Mills will be conducted first as advised by the Supreme Court and that the whole process was expected to be finalised as early as possible.

Meanwhile, the management of Pakistan Steel Mills is understood to have sought the cooperation of friendly countries to help revamp and expand the production capacity of the organisation.

Consul generals and commercial counsellors of certain friendly countries stationed in Pakistan were invited to visit Karachi earlier this year to discuss the possibilities of cooperation and assistance over the issue.

“Pakistan Steel meets its requirements of major raw materials i.e. iron ore and coal imported from Australia, Canada, India and Iran. For meeting its requirements of Ferro alloys, refractory items, rolls for its rolling mills and spare parts, Pakistan Steel has established multifarious techno-economic and commercial relations with a vast number of countries directly or indirectly,” wrote Maj. Gen. (Retd) Mohammad Javed, Chairman Pakistan Steel to the consul generals and commercial counsellors of various countries.

Pakistan Steel, he said, at present is implementing a comprehensive repair and maintenance programme of its critical units.

The ministry of industries and production had given a go-ahead to the management of the mills to undertake only the repair work for which Rs8 billion were made available to it.