Whenever national institutions are discussed in Pakistan, the names that come up first are PIA, Pakistan Railways, and Pakistan Steel Mills. At one time, all three were considered the backbone of the national economy. However, political interference, corruption, and the lack of long-term planning gradually turned them into liabilities.
In recent years, serious debate and practical progress regarding the privatization or partial privatization of PIA have revived an important question: if a way forward can be found for PIA, why is there no viable solution for Pakistan Steel Mills?
Pakistan Steel Mills is not just another industrial unit; it was a symbol of national pride, industrial self-reliance, and the livelihood of hundreds of thousands of families. Laid in the 1970s, its foundation aimed to reduce Pakistan’s dependence on imported steel and accelerate industrial growth. For many decades, the mill remained profitable, supplied raw materials to major industries, and produced a skilled workforce. But then the familiar story repeated itself-political appointments, poor management, lack of continuous upgradation, and an environment free from accountability.
If we look at the case of PIA’s privatization, the reality becomes clear. The government accepted that the state does not have the capacity to run every business, and that subsidizing loss-making institutions is essentially a waste of taxpayers’ money. In PIA’s case, it was argued that better services, modern management, and financial discipline require the involvement of the private sector. If this principle is correct, then why should Pakistan Steel Mills be excluded from the same debate?
The real issue is that Steel Mills is not merely an economic matter; it is also social and political. Thousands of employees and their families, Karachi’s local economy, and the country’s overall industrial policy are all linked to it. As a result, governments come and go, committees are formed, reports are written-but practical action is avoided. The outcome is that Steel Mills has been lying idle for years, machinery has rusted, and the burden on the national treasury continues to grow.
So where do we go from here? First of all, it must be acknowledged that in its current condition, running this institution in the traditional government style is impossible. If a public-private partnership or strategic privatization model can be seriously considered for PIA, the same approach can also be adopted for Steel Mills. Globally, the steel industry depends on modern technology, energy efficiency, and market-oriented strategies. Pakistan Steel Mills must also be restructured along these lines.
A key issue here is land and assets. Steel Mills possesses valuable land and basic infrastructure, which is often viewed only from the perspective of selling it off. However, the real need is to use these assets for industrial development rather than for short-term revenue generation. If international or local investors are brought in transparently on a partnership basis, with clear conditions regarding employee protection and production targets, confidence can be restored.
In the past, whenever privatization was discussed, the greatest fear was spread among employees. The PIA experience shows that if employees are taken into confidence, improvement is possible. It is the state’s responsibility not to abandon workers, but this responsibility cannot become a justification for keeping institutions permanently loss-making.
Another crucial aspect is industrial policy. In Pakistan, demand for steel in construction, infrastructure, and defense needs is continuously increasing. If the country restores its steel production capacity, imports can be significantly reduced. This is not only an economic benefit but also a matter of strategic importance. Therefore, the solution for Steel Mills should not be limited to privatization alone; it must be part of a comprehensive industrial vision.
The question remains: will we be able to make a decision here as we did in the case of PIA, or will Steel Mills continue to fall victim to files, statements, and political rivalries? The need of the hour is to make fact-based decisions instead of political ones. If a bitter but necessary medicine can be given to PIA, then the courage must also be shown for Pakistan Steel Mills. Otherwise, history will continue to taunt us for allowing national assets to die slowly instead of managing them responsibly.
Pakistan today needs decisions. After PIA, it is now Pakistan Steel Mills’ turn. The real test is whether we finally move toward a solution this time-or let yet another opportunity slip away.
