Dunlop to reopen West Bengal plant from March 6

March 3rd, 2009 - 10:38 pm ICT by IANS  

Kolkata, March 3 (IANS) After remaining shut for over three months, tyre maker Dunlop India Tuesday said it will reopen its Sahaganj unit in West Bengal March 6.
“Through a notice at the entrance of the Sahaganj plant, the management of Dunlop India Ltd has informed its employees today (Tuesday) that the operations at the plant will resume on and from Friday, March 6, 2009,” the company said in a statement.

It added that production will commence after the repairing and refurbishing of the plant is completed.

“As there have been quite a few cases of theft in the plant in recent times, 229 workers of maintenance and engineering division have been asked to initially commence the repairing and refurbishing of the plant. On the plant being ready for regular production, workers will be inducted in different departments in a phased manner,” it added.

The company suspended production at the unit Nov 17, citing lack of demand due to the global economic downturn.

Dunlop Nov 30 declared suspension of work at its Sahaganj plant in the Hooghly district, leaving the future of over 1,200 workers in uncertainty.

“Meanwhile a few bankers have given assurances on disbursal of the working capital needed for running the plant on a sustained manner. The government of West Bengal on its part has informed that the relief and incentives applied for are under active consideration,” the statement said.

Earlier, the company sought a loan of Rs.1 billion (Rs.100 crore) from West Bengal Industrial Development Corp (WBIDC).

“The management of Dunlop India hopes to sort out all pending issues with the labour unions after the commencement of the repairing and refurbishing. The management sincerely solicits cooperation of the labour unions in achieving long lasting industrial harmony at the Sahaganj plant,” the statement added.

Kolkata-based Ruia Group chairman Pawan Kumar Ruia, who owns Dunlop, bought the tyre maker in 2005 from Manohar Rajaram Chhabria’s family.

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