Dunlop may shut West Bengal unit again
July 25th, 2009 - 7:18 pm ICT by IANS ( Leave a comment )Kolkata, July 25 (IANS) Tyre maker Dunlop India may suspend operations at its Sahaganj factory in West Bengal if electricity connection is not restored within 15 days, a top official said here Saturday.
“Electricity problem is holding back production. Decision has to be taken in next 15 days,” Dunlop chairman Pawan Kumar Ruia told reporters after the annual general meeting of the company.
West Bengal State Electricity Development Co has disconnected power connection of Dunlop unit as there is an outstanding bill of Rs.15.5 crore in the company’s name for the period when work remained suspended.
The company suspended work in the Sahaganj unit in Hooghly district from November last year citing the reason of economic meltdown.
It re-opened March 6, but could not resume production as there was no power connection.
“We have already paid Rs.2.5 crore, another Rs.13 crore is outstanding,” Ruia said.
At present, the company is doing its maintenance work in the factory with the help of generators. It has re-inducted 250 workers out of 1,100 after re-opening.
Earlier the chairman had said the company would resume work within seven days if power supply was restored.
Ruia said the company was also planning to set up a 25 MW captive power plant in the Sahaganj premises at an investment of Rs.125 crore.
“Dunlop requires 5-6 MW of power, rest we will sell,” he added.
The group ventured into tyre business in 2005 by acquiring Dunlop India from Manohar Rajaram Chhabria’s family.
- Ensure law and order for Dunlop plant to function: Ruia - Sep 10, 2011
- Dunlop's Bengal unit likely to resume production soon - Nov 09, 2009
- Dunlop to resume production in Sahaganj factory (Lead) - Sep 04, 2009
- Dunlop to resume production in Sahaganj factory soon - Sep 03, 2009
- Dunlop to start production from Sahaganj unit Dec 2 - Nov 24, 2009
- Conditional offer to open Sahagunj unit in phases - Oct 21, 2011
- Dunlop board to discuss shut Bengal factory Oct 21 - Oct 13, 2011
- Relief undertaking to Dunlop only after it reopens: Minister - Oct 20, 2011
- Dunlop to withdraw lay-off notice at Bengal plant - Apr 05, 2011
- Dunlop's West Bengal unit re-opens - Mar 06, 2009
- Dunlop India expects Rs.550 crore turnover - Jun 16, 2010
- Dunlop shutdown continues as talks fail - Oct 10, 2011
- Dunlop to reopen West Bengal plant from March 6 - Mar 03, 2009
- Dunlop resumes production at Sahaganj after a year - Dec 02, 2009
- Dunlop's West Bengal unit reopens, production in one month (Lead) - Mar 06, 2009
Tags: annual general meeting, captive power plant, crore, development co, dunlop india, economic meltdown, electricity connection, electricity problem, generators, maintenance work, manohar, pawan kumar, power supply, production decision, rajaram, rs 125, ruia, seven days, tyre, west bengal state