Tamil Nadu: Open-end spinning mills closed for five days
Coimbatore (Tamil Nadu) [India], May 3 (ANI): Open-end spinning mills in the state have been shut down for five says protesting against rising prices of raw materials and the export policy of the government.
ANI
May 03, 2019 12:18 IST
Coimbatore (Tamil Nadu) [India], May 3 (ANI): Open-end spinning mills in the state have been shut down for five says protesting against rising prices of raw materials and the export policy of the government.
Speaking about the issues faced by open-end spinning mills, Arul Murali, general secretary of Open End Spinning Mill Association, said: "We procure cotton waste raw materials from all over India - about 5.25 crore spindle, which includes imports from Bangladesh and Vietnam. The biggest issue we are facing is the raw material price hike which has gone from Rs 75 per kg to Rs 94 per kg in two months. Secondly, paper mills also consume some of the raw materials which we use. High consumption is a challenge for our open-end spinning mills."
"We are also urging the government not to export raw materials in view of high consumption of these raw materials in our mills. We have requested the central and state ministries to look into it," he added.
Talking about the prospective losses the cotton industry could face due to the strike, Murali said, "In a five-day strike, we estimate losses of around Rs 15 crore per day. This is the reason we are requesting the Tamil Nadu government to remove Market Committee cess for cotton which is 1per cent. We request our spinning mills not to charge packing costs."
Of the 11 lakh rotors that are operational in the country, 7 lakh rotors are in the 450 spinning mills in Tamil Nadu which contribute around 60 per cent of the overall output. (ANI)
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