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Maharatna, Navratna and Miniratna PSUs in India

Published on Tuesday, December 23, 2014
Public sector enterprises or public sector undertakings have been back bone  of Indian economy since the time of independence. These public sector undertakings contribution in Indian economy indescribable. These industries are related to power sector ,steel manufacturing ,iron ore and petroleum. Government is also able to earn considerable revenue from these PSUs, to honor their contribution and vest some special power that help and provide greater autonomy to these public sector enterprises in decision making ,government confer to some to these industrial organization.

The PSUs in India have been divided in three categories on the basis of autonomy (and thus status) they enjoy. The three categories are...
  • Maharatna
  • Navratna
  • Miniratna I & II categories
The policy aims to support them by providing greater autonomy to compete in the global market.
In India Vedic verses ‘Ratna’ is denominated as precious gems and precious stones. Symbolically, the terms Maharatnas , Navratnas and Miniratnas are supposed to stand for such contribution of gems and precious stones in the hierarchical order.


Maharatna Scheme was introduced for Central Public Sector Enterprises (CPSEs), with effect from 19th May, 2010, in order to empower mega CPSEs to expand their operations and emerge as global giants. The objective of the scheme is to delegate enhanced powers to the Boards of identified large-sized Navratna CPSEs so as to facilitate expansion of their operations, both in domestic as well as global markets.

Eligibility Criteria for grant of Maharatna status

CPSEs fulfilling the following criteria are eligible to be considered for grant of Maharatna status:

  1. Having Navratna status
  2. Listed on the Indian stock exchange, with a minimum prescribed public shareholding under SEBI regulation
  3. An average annual turnover of more than Rs.20,000 crore during the last three years.
  4. An average annual net worth of more than Rs.10,000 crore during the last three years.
  5. An average annual net profit of more than Rs.2500 crore during the last 3 years.
  6. Significant global presence or international operations.
List of Maharatna Companies (as per available information as on 26 October, 2014)
There are seven public sector companies which were granted Maharatna status.

Maharatna CPSEs

  1. Bharat Heavy Electricals Limited
  2. Coal India Limited
  3. GAIL (India) Limited
  4. Indian Oil Corporation Limited
  5. NTPC Limited
  6. Oil & Natural Gas Corporation Limited
  7. Steel Authority of India Limited

Maharatna status helps in enhanced powers:

        As compared to other CPSEs, the Boards of Maharatna CPSEs have been delegated enhanced powers in the areas of:-
1.A Mahratna company can invest 15% of its networth in a single project for establishing a new venture or undertaking an acquisition activity with a cap of Rs 5,000 crore without any permission from GOI.
2.Make equity investment to establish financial joint ventures and wholly owned subsidiaries in India or abroad

Major Impact

The main objective of the Maharatna Scheme is to empower mega CPSEs to expand their operations and emerge as global giants. 


The Central Public Sector Enterprises (CPSEs) fulfilling the following criteria are eligible to be considered for grant of Navratna status:

A score of 60 (out of 100), based on six parameters which include
1. Net Profit to Net Worth
2. Manpower cost to cost of production or services
3. Gross margin as capital employed
4. Gross profit as Turnover
5. Earnings per Share
6. Inter-Sectoral comparison based on Net profit to net worth.
The number of PSUs with Navratna status in the country now stands at 16. National Buildings Construction Corporation Limited' (NBCC) and 'Engineers India Limited' (EIL) are the most recent addition to this coveted status granted by the Department of Public Enterprises.

There are seventeen CPSEs granted Navratna status list include: 

  1. Bharat Electronics Limited
  2. Bharat Petroleum Corporation Limited
  3. Engineers India Limited*
  4. Hindustan Aeronautics Limited
  5. Hindustan Petroleum Corporation Limited
  6. Mahanagar Telephone Nigam Limited
  7. National Aluminium Company Limited
  8. National Buildings Construction Corporation Limited
  9. NMDC Limited
  10. Neyveli Lignite Corporation Limited
  11. Oil India Limited*
  12. Power Finance Corporation Limited
  13. Power Grid Corporation of India Limited
  14. Rashtriya Ispat Nigam Limited
  15. Rural Electrification Corporation Limited
  16. Shipping Corporation of India Limited
  17. Container Corporation of India Limited

Enhancement of delegated powers of Navratna PSUs

1.The ceiling on investment to establish financial joint ventures and wholly owned subsidiaries in India or abroad shall be 15% of the networth of the PSU in one project limited to Rs. 1000 crore..
2.The Board of Directors of these PSUs shall have the powers for mergers and acquisitions, subject to the conditions.


In October 1997, the Government had also decided to grant enhanced autonomy and delegation of financial powers to some other profit making companies subject to certain eligibility conditions and guidelines to make them efficient and competitive.  These companies called Miniratna’, are in two Category-I,II. 

The eligibility conditions and criteria are:

1.Category –I CPSEs should have made profit in the last three years continuously, the pre-tax profit should have been Rs. 30 crore or more in at least one of the three years and should have a positive net worth.
2. Category-II CPSEs should have made profit for the last three years continuously and should have a positive net worth.
3. These CPSEs shall be eligible for the enhanced delegated powers provided they have not defaulted in the repayment of loans/interest payment on any loans due to the Government.
Presently, there are 68 ‘Miniratna’ CPSEs (54 Category –I and 18 Category-II).

Miniratna Category - I CPSEs

  1. Airports Authority of India
  2. Antrix Corporation Limited
  3. Balmer Lawrie & Co. Limited
  4. Bharat Coking Coal Limited
  5. Bharat Dynamics Limited
  6. BEML Limited
  7. Bharat Sanchar Nigam Limited
  8. Bridge & Roof Company (India) Limited
  9. Central Warehousing Corporation
  10. Central Coalfields Limited
  11. Chennai Petroleum Corporation Limited
  12. Cochin Shipyard Limited
  13. Dredging Corporation of India Limited
  14. Kamarajar Port Limited
  15. Garden Reach Shipbuilders & Engineers Limited
  16. Goa Shipyard Limited
  17. Hindustan Copper Limited
  18. HLL Life care Limited
  19. Hindustan Newsprint Limited
  20. Hindustan Paper Corporation Limited
  21. Housing & Urban Development Corporation Limited
  22. India Tourism Development Corporation Limited
  23. Indian Rare Earths Limited
  24. Indian Railway Catering & Tourism Corporation Limited
  25. IRCON International Limited
  26. KIOCL Limited
  27. Mazagaon Dock Limited
  28. Mahanadi Coalfields Limited
  29. Manganese Ore (India) Limited
  30. Mangalore Refinery & Petrochemical Limited
  31. Mishra Dhatu Nigam Limited
  32. MMTC Limited
  33. MSTC Limited
  34. National Fertilizers Limited
  35. National Seeds Corporation Limited
  36. NHPC Limited
  37. Northern Coalfields Limited
  38. North Eastern Electric Power Corporation Limited
  39. Numaligarh Refinery Limited
  40. ONGC Videsh Limited
  41. Pawan Hans Helicopters Limited
  42. Projects & Development India Limited
  43. Railtel Corporation of India Limited
  44. Rail Vikas Nigam Limited
  45. Rashtriya Chemicals & Fertilizers Limited
  46. RITES Limited
  47. SJVN Limited
  48. Security Printing and Minting Corporation of India Limited
  49. South Eastern Coalfields Limited
  50. State Trading Corporation of India Limited
  51. Telecommunications Consultants India Limited
  52. THDC India Limited
  53. Western Coalfields Limited
  54. WAPCOS Limited

Miniratna Category-II CPSEs

  1. Bharat Pumps & Compressors Limited
  2. Broadcast Engineering Consultants (I) Limited
  3. Central Mine Planning & Design Institute Limited
  4. Central Railside Warehouse Company Limited
  5. EdCIL (India) Limited
  6. Engineering Projects (India) Limited
  7. FCI Aravali Gypsum & Minerals India Limited
  8. Ferro Scrap Nigam Limited
  9. HMT (International) Limited
  10. HSCC (India) Limited
  11. India Trade Promotion Organization
  12. Indian Medicines & Pharmaceuticals Corporation Limited
  13. M E C O N Limited
  14. Mineral Exploration Corporation Limited
  15. National Film Development Corporation Limited
  16. National Small Industries Corporation Limited
  17. P E C Limited
  18. Rajasthan Electronics & Instruments Limited

Enhancement of delegated powers of MINIRATNA PSUs.

Miniratna-I: up to Rs. 500 crore or equal to their net worth, whichever is lower.

Miniratna-II: up to Rs. 300 crore or up to 50% of their net worth, whichever is lower.

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