In a bid to revive the loss-making Butwal Spinning Mill (BSM), government has handed over the management of the mill to Salt Trading Limited on contract, RSS said Thursday.

Chairman of the mill Dinesh Raj Bhattarai and chief executive officer of Salt Trading Parmeshor Mahaseth signed the management contract in the presence of Finance Minister Dr. Prakash Chandra Lohani, the agency said.

According to the contract, Salt Trading will give the government an operational profit of not less than Rs.1 per kg of yarn produced and assume all the liabilities incurred by the mill after the hand over.

Salt Trading will also, if necessary, make capital investments. The contract will be valid until shares owned by the government and government-undertakings are all handed over to the private sector, the agency said.

The mill established 12 years ago with the objective of supplying yarn to the textile industry of the country had been incurring losses due to various financial, technical and managerial reasons, according to the agency. nepalnews.com mr Jan 8