Defence CPSE MIL, AVNL & IOL Granted Miniratna Category-I Status
Economy
4 min read
The Union Ministry of Defence granted Miniratna Category-I status to the defence central public sector enterprises (CPSEs) Munitions India Limited (MIL), Armoured Vehicles Nigam Limited (AVNL), and India Optel Limited (IOL).
These three defence PSUs were granted the status after they met the criteria necessary for the Miniratna Category-I status.
The total number of central PSUs with Miniratna Category-I status in the country is 52. The total number of CPSEs in the Miniratna Category-II status is 10.
Miniratna CPSE
The Government of India grants Maharatna, Navratna, and Miniratna status to the central public sector enterprises (CPSE) if they meet certain minimum financial criteria.
The status is given by the central government ministries under which these CPSEs operate.
These Miniratna CPSE enjoys certain financial and managerial autonomy.
The Miniratna CPSEs have smaller assets and business operations than the Maharatna and Navratna PSUS.
Categories of Miniratnas
The Miniratna are divided into Miniratna Category -I &II.
Criteria for Miniratna Category -I Status
- The CPSE shall have earned a profit for the last three consecutive years.
- The minimum pre-tax profit shall be Rs 30 crore.
- It shall have a positive net worth.
Criteria for Miniratna Category -II Status
- The CPSE shall have earned a profit for the last three consecutive years.
- It shall have a positive net worth.
Benefits of Being a Miniratna
- They get greater operational autonomy.
- They can make capital investments up to Rs 500 crore or equal to their net worth without the prior approval of the central government.
- They can form a joint venture with another company without prior government approval.
About MIL, AVNL and IOL
As part of the defence sector reform, the government of India split the Ordnance Factory Board under the Ministry of Defence into seven companies on 1 October 2021. The Ordnance Factory Board made ammunition, vehicles and other defence products for the Indian armed forces.
These seven defence CPSEs under the Ministry of Defence are as follows:
Munitions India Limited
- Manufactures ammunition and explosives
- Headquarters- Khadki, Pune, Maharashtra
Armoured Vehicles Nigam Limited.
- Manufactures vehicles for the armed forces
- Headquarters- Avadi, Chennai, Tamil Nadu
Advanced Weapons and Equipment India Limited
- Manufactures weapons and equipment
- Headquarters- Kanpur, Uttar Pradesh
Troop Comforts Limited
- Manufactures troop comfort items.
- Headquarters- Kanpur, Uttar Pradesh
Yantra India Limited
- Manufactures Military Grade components and Ancillary products.
- Headquarters- Ambajhari, Nagpur, Maharashtra
India Optel Limited
- Manufactures opto-electronic items.
- Headquarters-Dehradun, Uttarakhand
Gliders India Limited.
- Manufactures parachutes.
- Headquarters, Kanpur, Uttar Pradesh
