The government of India is looking to
privatize state run Dredging Corporation of India (DCI).
proposal for disinvestment of Dredging Corporation of India Limited is under
consideration of the Government of India," a government press release said
quoting the Minister of State for Shipping and Road Transport and Highways Pon.
is aimed at upgrading technology, improving capability, infusing capital to buy
necessary dredgers and equipments and instilling experienced professional
management to optimize the operations of DCI.
stake of the government in the PSU is 73.47%, which would be reduced to 22.47%
if the government goes ahead with the stake sale. DCI, the only listed PSU in
Visakhapatnam, has a net worth of around Rs 1,500 crore (USD 233 million).
government, which holds 73.47% in the state-owned company might sell off 51% of
the company and it is said that this sale of the stake would fetch about Rs
1,400 crore to the exchequer.
The DCI unions are opposed to
the idea of privatizing DCI since it will prove detrimental to the interests of
the employees and of the public. Moreover, the employees of DCI say that
selling a company like DCI will endanger the safety and security of the Indian
ports which rely on DCI during crisis and when the private players fail to come
to their rescue.
that DCI, with a fleet of 17 dredgers, was among the top 10 dredging companies
in the world and "the most capable and reliable one in the country."