NAVRATANA COMPANIES IN

INDIA..
N A V R A T NA W A S T H E T I T L E G I V E N O R I G I NA L L Y
T O N I N E P U B L I C S E C T O R E NT E RP R I S E S ( P S E S ) ,
I D E N T I F I E D B Y T H E G O V E R NM E N T O F I N D I A I N
1997 AS ITS MOST PRESTIGIOUS, WHICH
A L L O WE D T H E M G R E A T E R A U T O NO M Y T O
C O M P E T E I N T H E G L O B A L M AR K E T . T H E
N U M B E R O F P S E S H A V I N G N AV R A T N A S T A T U S
H A S B E E N R A I S E D T O 1 8 , T H E M O S T R E CE N T
A D D I T I O N B EI N G C O A L I N D I A L I M I T E D
 Historical symbolism
O R I G I N A L L Y , T H E T ER M N A V A R A T N A
M EA N T A T A L I S M A N O R O R N A M E N T
C O M P O S E D O F N I N E P R EC I O U S GE M S .
L A T E R , T H I S S Y M BO L O GY W A S A D O P T E D IN
T H E C O U R T S O F K IN G V IK R A M A D IT Y A A N D
T H E M U G H A L E M P ER O R A K BA R, W H ER E T H E
N A V A RA T N A S W ER E A GR O U P O F N I N E
EX T R A O R D I N A RY M EN I N T H E I R
R E S P EC T IV E C O U R T S .
 Significance
The Navratna status is offered to PSEs, which
gives a company enhanced financial and
operational autonomy and empowers it to invest
up to Rs. 1000 crore or 15% of their net worth on
a single project without seeking government
approval. In a year, these companies can spend
up to 30% of their net worth not exceeding Rs.
1000 cr. They will also have the freedom to enter
joint ventures, form alliances and float
subsidiaries abroad.
 Criteria

Navratna status is conferred by Department of Public

Enterprises. To be qualified as a Navratna, the
company must obtain a score of 60 (out of 100). The
score is based on six parameters which include net
profit to net worth, total manpower cost to total cost of
production or cost of services, PBDIT (Profit Before
Depreciation, Interest and Taxes) to capital employed,
PBDIT to turnover, EPS (Earning Per Share) and inter-
sectoral performance. Additionally, a company must
first be a Miniratna and have four independent
directors on its board before it can be made a Navratna.
 List of Navratnas
The original list of 1997 included ECIL,
BHEL, BPCL, HPCL, IOC, IPCL, NTPC,
ONGC, SAIL and VSNL, of which IPCL and
Videsh Sanchar Nigam Ltd (VSNL) were
later privatised. GAIL and MTNL joined the
list in November 1997. In June 2007 the
government awarded the coveted status to
three more PSEs: BEL, HAL and
Power Finance Corporation (PFC).
 List of Navratnas Contd..
The incumbents of this group as of 1.12.2008 are:
 Bharat Electronics Limited
 Bharat Heavy Electricals Limited
 Bharat Petroleum Corporation Limited
 Coal India Limited
 GAIL (India) Limited
 Hindustan Aeronautics Limited
 Hindustan Petroleum Corporation Limited
 Indian Oil Corporation Limited
 Mahanagar Telephone Nigam Limited
 National Aluminium Company Limited
 NMDC Limited
 LIST STILL CONTINUES….
NTPC Limited
Oil and Natural Gas Corporation Limited
Power Finance Corporation Limited
Power Grid Corporation of India Limited
Rural Electrification Corporation Limited
Shipping Corporation of India Limited
Steel Authority of India Limited
Rashtriya Ispat Nigam Limited(Vizag Steel)
 Miniratnas
In addition, the government created another
category called Miniratna. Miniratnas can
also enter into joint ventures, set subsidiary
companies and overseas offices but with
certain conditions. In 2002, there were 41
government enterprises that were awarded
Miniratna status.
 CATEGORY I
This designation applies to PSEs that have
made profits continuously for the last three
years or earned a net profit of Rs. 30 crore
or more in one of the three years. These
miniratnas granted certain autonomy like
incurring capital expenditure without
government approval up to Rs. 500 crore or
equal to their net worth, whichever is lower.
 CATEGORY I INCLUDES:
 Airports Authority of India
 Balmer Lawrie & Co. Limited
 Bharat Dynamics Limited
 BEML Limited
 Bharat Sanchar Nigam Limited
 Bongaigaon Refineries & Petrochemicals Limited
 Central Warehousing Corporation
 Central Coalfields Limited
 Chennai Petroleum Corporation Limited
 Cochin Shipyard Limited
 Container Corporation of India Limited
 Dredging Corporation of India Limited
 Engineers India Limited
 Ennore Ports Limited
 Garden Reach Shipbuilders & Engineers Limited
 Goa Shipyard Limited
 Hindustan Copper Limited
 CATEGORY II

This category include those PSEs which

have made profits for the last three years
continuously and should have a positive net
worth. Category II miniratnas have
autonomy to incurring the capital
expenditure without government approval
up to Rs. 300 crore or up to 50% of their net
worth whichever is lower
 CATEGORY II INCLUDES:
Broadcast Engineering Consultants (I) Limited
Central Mine Planning & Design Institute Limited
Educational Consultants (I) Limited
Engineering Projects (I) Limited
Ferro Scrap Nigam Limited
HMT (International) Limited
HSCC (India) Limited
India Trade Promotion Organization
Indian Medicines Pharmaceuticals Corporation Limited
MECON Limited
National Film Development Corporation Limited
PEC Limited
Rajasthan Electronics & Instruments Limited
Water & Power Consultancy (India) Limited
 MAHARATNA
In 2009, the government established the
Maharatna status, which raises a company's
investment ceiling from Rs. 1,000 crore to Rs.
5,000 crore.The Maharatna firms would now be
free to decide on investments up to 15 per cent of
their net worth in a project.
Earlier, the Navaratna companies could invest up
to Rs 1,000 crore without government approvals.
 Criteria
In order to qualify as a Maharatna, a
company must have:
Three years with an annual net profit of
over Rs. 5,000 crore
Net worth of Rs. 15,000 crore
Turnover of Rs. 25,000 crore
The only companies currently meeting the
criteria are SAIL, ONGC and NTPC.
VARIOUS NAVRATANA COMPANIES:
THANKS: