Context: 

Recently, the Ministry of Defence has approved the grant of "Miniratna" status Category-I to three Defence Public Sector Undertakings (DPSUs)

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"Miniratna" status Category-1 has been Granted to following DPSUs:

• Munitions India Limited (MIL)
• Armoured Vehicles Nigam Limited (AVNL)
• India Optel Limited (IOL)

While MIL and AVNL are Schedule 'A' new Defence Public Sector Undertaking (DPSU), IOL is a Schedule 'B' DPSU under the administrative control of the Department of Defence Production (DDP)

Purpose: Recognition for transformation into profitable corporate entities within three years of formation from the erstwhile Ordnance Factory Board (OFB).

Criteria for Miniratna Category I:

• Profitability: The CPSE must have made profits continuously for the last three years.
• Pre-tax Profit: It must have earned a pre-tax profit of at least ₹30 crore in at least one of the three years, or have maintained an average annual turnover of at least ₹120 crore over the same period.
• Positive Net Worth: The CPSE must have a positive net worth.