MMTC divestment by next fiscal: Sharma

Divestment in Indias leading trading firm MMTC will take place only in the next fiscal,commerce and industry minister Anand Sharma said today.

Not in the current fiscal. Next year we will see to it, he said during the inauguration of MMTCs first liaison office in South Africa set up for tapping business opportunities in the African continent.

MMTC has already obtained the mandatory EGM approval for splitting each share of face value of Rs 10 into 10 scrips of Re 1 each and issuing one-to-one bonus shares. Currently,the government holds 99.33 per cent equity in MMTC. According to sources,the government plans to offload 10 per cent stake in the firm.

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During the occasion,H S Mann,chairman and managing director of MMTC,said the liaison office,which would be converted to a full-fledged office in due course of time,envisages harnessing business potential in trading and forming joint ventures with companies in South Africa and other African countries. This office will be the focal point for sourcing precious stones like diamonds and enhance the companys reach in Africa,he said.

South Africa is a powerhouse of Africa it is a gateway with huge potential will explore different opportunities of trade between the two countries, he added. Sharma also said that $10-billion bilateral trade between the two countries is set to be accomplished before the targeted date and a revised target of $15 billion by 2014 has been decided upon.