The government of India is looking to privatize staterun Dredging Corporation of India (DCI).
"A 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. Radhakrishnan.
The proposal 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.
The present 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).
The government, which holds 73.47% in the state-owned company might sell off 51% of the company.
According to representatives of DCI unions, the only government-controlled firm in the field of dredging, will fall into private hands and it will be detriment of employees' interests as well as of those of the public.
They said 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."