SHILLONG, Nov 14: Having failed to revive the Mawmluh Cherra Cements Limited (MCCL) which continues to bleed despite the modernisation attempts, the state government has finally decided to operate the company on a joint venture with private agencies and companies.
Officials on the request of anonymity confirmed that the Government is working out details to operate the company on joint venture with other private firms.
“ As of now documents are being readied and Expression of Interest (EOI) will be floated very soon to attract bids for this joint venture,” officials said.
When asked what made the government go for a joint venture, officials
said that MCCL has basically become a loss making entity while pointing out that the lockdown earlier this year hit the company very hard.
“ Since the time of lockdown, the MCCL has virtually remained closed and it was a severe blow for the Company, ” officials said while admitting that it has become untenable for the Government to pay monthly salaries and to the staff besides other additional monthly expenditures
It may be mentioned that the Government in the last few years had gone in for massive funds infusion for the modernization of the MCCL but it continues to be a loss making enterprise.
Earlier, the Executive Committee of Mawmluh Dorbar, had maintained that the state government should continue to run the company while ruling out the public-private-partnership (PPP) model.
Similarly, the Khasi Students’ Union (KSU) is also peeved at the government’s move to go in for a joint venture to revive MCCL.
Few years ago the Government had spent crores of rupees for the modernization of MCCL to increase its production and to revive the firm but it seems, the modernization exercise has not paid much dividends.
Set up in the early 1960s, the MCCL is the oldest Public Sector Undertaking (PSU) in the State and the only state-owned cement plant.
