Govt plans white paper on PSUs in 2 months

The government has already decided to close down seven PSUs including Wagon India Ltd, he said. Joshi said that despite the government going ahead with the disinvestment programme the Public Sector Units continue to be relevant, especially with regard to the rural areas. "Private sectors are not interested in making large investments for infrastructure in the rural areas and hence the government will have to continue to maintain its presence in sectors including public transport and electricity," he said.

An inter-ministerial group comprising the Finance Minister, Disinvestment Minister, Labour Minister and Heavy Industries, has already been set up to review recommendations made by the disinvestment department.

Meanwhile, the Heavy Industries Ministry has listed over five PSUs for converting them into joint ventures including Scooters India Ltd, Hindustan Salts Ltd and Bharat Leather Corporation, Minister of State for Heavy Industries Vallabhai Kathiria said.

Kathiria said that the government had received no bids so far for the Cement Corporation of India since one unit of the corporation in Andhara Pradesh was sold to India Cements in 1995-96.

The Minister said that four financial advisors had been appointed to locate joint venture partners for the PSUs. "We have appointed SBI Caps, A F Ferguson, ICICI and I-Sec as advisors," he said.

The government has already approved formation of joint ventures for Lagan Jute Machinery Corporation while revival plans for National Instruments Ltd, sanctioned by the BIFR is currently under implementation, he said.