Chief Minister Pinarayi Vijayan has, in a letter to Prime Minister Narendra Modi, said that preventing Kerala from participating in the disinvestment process of HLL will be against the principles of cooperative federalism.
The Central government had given its “in-principle” approval for HLL’s disinvestment in July which sought bids for a 100 per cent stake sale in the company by January 31, 2022.
The Kerala government evinced interest and decided to participate in the tender process, but the Centre in its latest order has ruled out state governments or other PSEs participating in the tender process.
In the letter, Vijayan stated that the land for HLL was handed over to the Centre by the Kerala government for a specific project.
“If the Government of India proposes not to retain HLL as a government entity, it follows that the state government should be given the option to retain it as a state PSU. Hence, the state government should be given the first right to hold the land and assets of HLL. I once again request that either the land and assets of HLL in Kerala may be handed over to the Government of Kerala or the state government may be permitted to participate in the Expression of Interest process and the request for proposal process for the disinvestment of HLL,” said Vijayan.
Established in 1966 and with its headquarters in the state capital city, HLL has come a long way as part of the implementation of the Family Planning Programme under the Ministry of Health & Family welfare and a contraceptive making company, it is now a total healthcare company and in its growth trajectory it has won numerous accolades not only from the government but at international level too.
Currently, there are close to 10,000 employees in various categories at HLL which include 3,900 direct employees and the rest comprises of contract third party and laboratory staff.
The HLL have by now supplied medical devices to various medical institutions in 29 states and seven Union Territories. It ended the previous fiscal with a turnover of Rs 5,081 crore and had a profit of Rs 112 crore.