KARACHI, May 1: Industries and Production Minister Liaquat Ali Khan Jatoi has urged the management of Pakistan Steel to expedite the work on expansion plan and finalize the proposals in this regard within the current fiscal year.

Addressing the performance review meeting of the Pakistan Steel at the operations building, Port Qasim, the minister said that no delay in the implementation of the expansion plan could be afforded as it had vital importance for both the steel mill and the country.

Mr Jatoi was informed by Pakistan Steel chairman Mohammad Afzal Khan that a delegation of Russian experts, which visited the PS in April, had discussed the various aspects of expansion from 1.1 to 1.5 million tons per annum and they had been asked to finalize details in this matter in May. Besides, the Chinese experts had also been invited to explore the possibilities of cooperation in the expansion plan.

Sales of Pakistan Steel in July-March 2002-03 stood at Rs18.8 billion as against the target of Rs18.5 billion. Sales by end of fiscal year are expected to reach Rs21 billion, says a press release of Pakistan Steel. The mill had so far paid Rs4.37 billion under voluntary retirement scheme (VRS) and Rs4.67 billion to the banks as loan instalments during the last two years from its own resources.

The minister was informed that Pakistan Steel had over Rs6 billion in its kitty and was considering clearing the outstanding debts in a period of three years instead of 12 years as allowed by the government and the banks.

Pakistan Steel had so far contributed Rs45 billion to the national exchequer and saved $3.3 billion as import substitution in the perspective that PS was completed a total cost of Rs24.7 billion.