Mian Manzoor Ahmad Wattoo advisor to prime minister of Pakistan and minister for industries, production and special initiatives has said that the production capacity of Pakistan Steel Mills needs to be increased to make it more viable and to meet the increasing demand of steel in the country.

Mian Wattoo while chairing a meeting on expansion plans of PSM said that under the current expansion plan by end of current year, the production capacity would increase to 1.3 Million tonne per year from the current 1 million tonne per year. Under the second phase of expansion plan, by end of 2010, the capacity will increase to 1.5 million tonne per year.

He further informed that total increase in production during the current year will be 0.1 million tonne and capacity utilization will increase to 91 % from current 82 %.

Mian Wattoo said that to implement the expansion plan effectively it is necessary that PSM is removed from privatization list adding that PSM is a national asset and it should not be privatized. He assured the PSM administration that he will recommend to the prime minister that PSM should be de listed from the privatization list.