Ruia asked to submit Dunlop revival plan

August 1st, 2011 - 11:57 pm ICT by IANS  

Kolkata, Aug 1 (IANS) The West Bengal government Monday asked Ruia Group chairman Pawan Kumar Ruia to submit within seven days a detailed revival plan on re-opening the Sahagunj unit of Dunlop India.

“Mr Ruia has said that he is keen to reopen the unit. We have asked him to give a detailed project report within seven days on reopening of the closed tyre unit, to which he has agreed,” said state Labour Minister Purnendu Bose.

Bose held a meeting with Ruia at the state Secretariat here over how to run the closed Sahagunj unit of Dunlop India

Ruia contended that law and order problems were a major hindrance in running the Sahagunj plant, but the government assured him these will be taken care of.

“The plant is not closed due to labour problems, but due to law and order related issues. Parts of plant and machinery have been stolen. At least 75 unidentified people have occupied the workers’ quarters. The government has assured us on the law and order problems,” Ruia said.

“We have also discussed a revival plan for the plant and will be submitting detailed project report on that,” he said.

Ruia also apprised the government about the requirement of a 50 MW captive thermal power plant for consistency of production economically.

“We have got the approval from the state government for the power plant at Sahagunj. We are awaiting the Pollution Control Board (PCB) approval for the plant. Once power generation starts, this will bring down the production cost,” Ruia said.

Dunlop, which Ruia acquired in 2006, has two plants at Ambattur near Chennai and Sahagunj in West Bengal.

While the Ambattur plant is operational, there has been no production in the Sahagunj plant for the last eight months.

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