Harish Rao appeals to Defence minister not to privatise ordnance factories
Harish Rao raised concern in his appeal that privatising seven public sector organisations in the defence sector could lead to competition
HYDERABAD: Telangana State Finance and Health Minister Harish Rao addressed an open letter to Union Defence Minister Rajnath Singh on Saturday, urging him to halt the privatisation of the Medak Ordnance Factory and other Ordnance Factories across the country.
Minister Harish Rao emphasised that these facilities were essential to national defence and that privatisation might have serious consequences for both national security and the thousands of workers in these factories.
Harish Rao raised concern in his appeal that privatising seven public sector organisations in the defence sector could lead to competition, stifling new weapon development and undermining the Make in India mission.
He also stated that the Medak Ordnance Factory had enough work for its employees in the previous fiscal year, but that a lack of work in the current fiscal year could result in the factory being declared a "sick industry," which would result in the loss of employment for 2,500 employees directly and 5,000 people indirectly.
State Minister Harish Rao presented six proposals to Union Defence Minister Rajnath Singh in response to a plea from the Ayudha Karmagara Telangana Employees Samakhya. These demands include rolling back the decision to privatise defence sector enterprises, strengthening research departments, modernising the mission, providing employees with skill training, streamlining administration and procurement procedures, and ordering work for the Ordnance Factory in accordance with Army requirements.
Given the important nature of the Ordnance Factories to national defence and the probable detrimental impact of privatisation, State Minister Harish Rao has urged the government to reconsider its decision to privatise these vital institutions.
The appeal comes amid mounting concerns over the impact of privatisation on India's defence sector, with some experts saying that it could result in a loss of strategic autonomy and jeopardise the country's security.