Government plans to sell assets of five more PSUs in Kerala

James Paul
03 November 2003

Kochi: The government has decided to sell the assets of five more public sector units (PSUs) in Kerala, according to industrial department sources. The recommendation from the Enterprises Reforms Committee in this regard is pending clearance by Kerala Chief Minister A K Antony.

The PSUs selected for sale in the second phase are Kerala Soaps & Oils Ltd, Trivandrum Spinning Mills, Kerala State Drugs & Pharmaceuticals Ltd (vitamin A plant), Kerala Ceramics Ltd of Kundara (porcelain division) and Sitaram Textiles Ltd (processing unit).

Plant visits have begun by those who expressed interest in taking over Kerala State Detergents & Chemicals Ltd, Keltron Counters Ltd, Kerala State Salicylates & Chemicals Ltd, Astral Watches Ltd, Travancore Plywood Industries Ltd, which were cleared by the government for trade sale in the first phase.

Only three parties had shown interest in the first five PSUs, which were offered for sale a few months ago. Alukkas Group of Exporters and Jewellers has expressed interest in all five units. While C C Thampi, an individual bidder, expressed interest in four PSUs, another T K Gopinathan was interested only in Kerala State Salicylates & Chemicals Ltd. All three have been accepted as 'qualified interested parties'.

In the case of trade sale of assets of five PSUs in the second phase, the ERC proposal has been forwarded to the industry department. According to the sources, the government has given an in-principle clearance to the proposal, but it can only be approved by the chief minister. Once the proposal is approved by the chief minister, advertisements will be floated offering the trade sale of these five PSUs selected in the second phase.