The Cabinet Committee on Economic Affairs (CCEA) under Union Government on 18 April 2013 approved a 1083-crore Rupees renewal package for watch and tractor maker company HMT.
The approval of the revival Plan Directly aims to modernise the company and help it turn around in five years.
The package approved basically includes a cash infusion of 450 crore rupees and a non-cash assistance of 630 crore Rupees.
Significance of the Package Approved
• The package is aimed at turning the loss making company to profit-making one over five years by increasing production.
• The cash component of the package will be used for modernization, working capital needs and wage revision.
• The company also aims to hike production to 30000 units from the current 4500 units over five years.