The feasibility report to make the Kalamassery unit of Hindustan Machine Tools (HMT) Limited an independent one is expected by this year end or early next year.
The Department of Heavy Industries under the central government has already assigned a consultancy for the job and the notification in this regard is expected soon.
It is learnt that the consultancy would start the study in December beginning and it will take 45 days to complete the same.
In August this year, a high-level committee of the union government has decided to make the six units of HMT Limited as separate entities. HMT managing director M D SreeKumar said the consultancy would submit the report in 45 days after the commencement of the study.
“The central government has already appointed the consultancy for the job. It would visit all the six units to evaluate the status in each units. Our priority is to make the Kalamasserry unit an independent one as it is a profit making one. The other demands by the company such as working capital, pay scale revision and extend the age of retirement are yet to considered by the government,” he added.
The Board for Reconstruction of Public Sector Enterprises (BRPSE) had recommended a working capital of `75 crore for the unit for 2013-14.
“The working capital is the immediate requirement of the company. Apart from the efforts by the management side, a strong political pressure is the need of the hour,” he said.
Eyeing the possibility of autonomy, the Kalamaserry unit of the HMT has already started negotiations with Naval Physical Oceanographic Laboratory (NPOL), Thrikkakkara, to supply components for submarines. When contacted Union Minister K V Thomas said the decision to separate these units will be taken after getting the report.
“The other demands by the company is in the active consideration of various ministries and it will then be examined by the cabinet,” he said.