The Hindu : Andhra Pradesh News : BMS wants shipyard handed over to Defence Ministry

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Saturday, Jun 16, 2007
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Andhra Pradesh

Andhra Pradesh

BMS wants shipyard handed over to Defence Ministry

Special Correspondent

VISAKHAPATNAM: The Bharatiya Mazdoor Sangh (BMS) wants the Central Government to transfer the Hindustan Shipyard Limited (HSL) here to the Defence Ministry from Ministry of Surface Transport as a measure to revive the sick public sector undertaking and also for other reasons like national security.

This plea was made by the BMS and its affiliate, the Hindustan Shipyard Shramik Sangh, at a press conference here on Friday and was supported by BJP’s National secretary and former MLA K. Haribabu and its State secretary B. Ranga Mohana Rao.

Restructuring

Handing over the PSU to Defence Ministry and effecting a financial restructuring package to HSL were important to save the unit which had so far accumulated losses to the tune of Rs.1,100 crores and to remove the constant fear of its employees about their job security, observed Dr. Haribabu.

BMS State vice-president M. Jagadiswara Rao pointed out that HSL was the first shipyard in the country and initiated the growth of Visakhapatnam. It has highly skilled manpower, very good infrastructure to be able to build three ships simultaneously but always faced financial crisis. “Our leaders had failed to secure a financial restructuring package unlike leaders in Kerala who could get it implemented for the Kochi shipyard and turned it into a profit-making unit,” he said.

HSL should be handed over to Defence Ministry taking into consideration its strategic location, for security reasons, as was located adjacent to the Eastern Naval Command and being very close to the port, he said. It was taking up repairs of Naval ships and submarines and could also take up construction.

Dr. Haribabu pointed out that help from the Centre and State Governments like in the case of Visakhapatnam Steel Plant would help a sick PSU to revive. Likewise, the Bharat Heavy Plate and Vessels was being helped out by merging it with BHEL.

The BJP leader recalled that a Russian team which visited the shipyard in the past said it was the best in the country but its facilities were not being utilised in full measure, and wanted the State and Central Governments to exploit the boom being experienced in the shipbuilding industry world over. Hindustan Shipyard Shramik Sangh’s president Ch. Varahala Reddy and general secretary Joga Appa Rao were also present.

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