Centre says ‘no’ plans to privatise ordnance units

The government on Saturday denied reports about the privatisation of ordnance factories across the country in a response to workers who have threatened to launch a 30-day strike from August 20.

A panel of senior officials of the Defence Ministry has started talks with the agitated employees trying to convince them that reports about privatising ordnance factories are merely rumours.

Forty-one ordnance factories function in various parts of the country under the aegis of the Ordnance Factory Board (OFB) which has its corporate headquarters in Kolkata.

These factories have over 200 years of experience in defence production apart from testing, logistics, research, development and marketing of a comprehensive product range in the area of land, sea and air systems.

“Discussions are continuously being held by a committee of very senior officials of the Defence Ministry with employees’ federations of the Ordnance Factory Board and engage with them in a positive and constructive manner on all aspects relating to its corporatisation. It was also clarified that the government is not proposing to privatise the Ordnance Factory Board and any apprehension in this regard is misplaced,” said Secretary (Defence Production), Ajay Kumar on Saturday.

The panel has told the agitating employees that there is a proposal to convert the OFB into Defence Public Sector Undertakings (DPSU) with 100% government equity.

What govt said

• Govt clarified that it is not proposing to privatise the Ordnance Factory Board as of now
• Any apprehension in this regard is misplaced, said a govt official