New Delhi: All options are open for three state-run trading corporations of MMTC, STC and PEC, Union minister Piyush Goyal said on Tuesday amid reports that the government is looking to shut down the three PSUs.
Media reports suggested that the government was planning to close down debt-ridden STC and PEC. The three PSUs are under the administrative control of the commerce and industry ministry.
According to sources, the ministry is mulling moving a Cabinet proposal for the closure of State Trading Corporation (STC), and Project and Equipment Corporation of India (PEC).
Goyal stressed that it was not the government’s business to be in the business and they have started discussions on the three trading companies.
“One by one we will do it,” the minister said.
When asked if the ministry is mulling closing down or merging these units, he said: “All options are open”.
He explained that the purpose of these companies is getting eroded gradually and they are no more canalising agencies.
He said there is no meaning for such a big infrastructure (MMTC) to carry out gold imports.
MMTC was incorporated in 1963 primarily to deal in exports of minerals and ores and imports of non-ferrous metals.
STC was founded in 1956 as a trading firm to undertake business with east European countries. PEC was set up as an STC subsidiary in 1971 to handle canalised business of export of railway and engineering equipment. It became an independent firm in 1997.