ISLAMABAD, Dec 10: The federal government has approved a Rs6 billion long- and medium-term modernization plan for Pakistan Ordinance Factories (POF).

“The 10-year plan seeks to rehabilitate and modernize plants and machines for which initially Rs2 billion will be spent,” said chairman POF Wah, Lt-Gen Abdul Qayyum.

He told Dawn that priority would be given to upgrade Tri Netro Toloune (TNT) plant, Nitric Acid Concentration Plant, Sulphuric Acid Plant, and the Computerized Numerical Controlled Machines. He said that 75 per cent of the machines and plants were almost 50 years old.

The chairman POF said that the modernization plan also included 30MW power generation per hour by POF which was currently being provided by Water and Power Development Authority (Wapda). Now the POF will generate its own power, and roughly save Rs80 million per month.

Asked about the funding of the plan, Lt-Gen Abdul Qayyum said that POF was not seeking financial help from the federal government. “We will raise funds from our own exports without looking towards the government,” he said adding that POF was a financially viable organization.

In reply to a question he said that some of the computer-controlled machinery will have to be imported through the ministry of science and technology.

Responding to another question, Lt-Gen Abdul Qayyum said that POF’s performance was affected by the international sanctions which remained imposed for about three years against Pakistan.

“Now that the sanctions have been lifted we are gearing up to increase our exports,” he said adding that a number of countries have shown keen interest in small arms and ammunitions.

Some American companies are among the importers of POF products.

The chairman POF also said that defence cooperation was being initiated with Iran and Rumania for which successful negotiations have already been held.