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In a letter, Telangana Minister for Industries and Information Technology KT Rama Rao urged the Union Minister for Heavy Industries Mahendra Nath Pandey to reopen the closed unit of Cement Corporation of India (CCI) in Adilabad.
Rao stated that the issue was earlier brought to the notice of Mahendra Nath Pandey’s predecessors, but no favourable decision has been made in this matter.
Giving detailed information about the plant, the Minister stated that the CCI Adilabad commenced production in 1984 with an initial cost of Rs 47 crore. The plant is located in an area of about 772 acres on the outskirts of Adilabad town and has a township of 170 acres with about 400 quarters.
The plant was catering to the cement requirements in Marathwada and Vidarbha region in Maharashtra and North Telangana. The plant, unfortunately, stopped manufacturing in 1996 for want of the working capital and as per the sanctioned scheme of the Board for Industrial and Financial Reconstruction.
The Minister also mentioned that the plant was to be closed down by offering the VRS to the employees in 2008. The employees, however, approached the court and the matter is now under status-quo with 75 employees still under the rolls of the company.
The Minister highlighted that the erstwhile plant has a live mining lease in an area of about 1,500 acres with limestone deposits of about 48 million tonnes. The unit also has a power supply connection of 32 KV and water availability for the plant continues to be there.
Further, he stated that the coal of the required quality is available with the Singareni Collieries Corporation Limited, a state-owned coal mining company, which can be supplied on a cost-plus basis.
“Given the strategic importance, I humbly request that the steps may be initiated under your stewardship to revive and restart the unit. The State Government shall extend all necessary assistance as required in this endeavour,” said Minister KTR.
During the meeting with the management of the cement factories in Huzurnagar, the Minister appealed to the industrialists to increase local employment within their units.
He assured them of maximum support from the State Government.
He highlighted the new industrial policy and stated that the companies that employ locals will be given incentives in the form of tax breaks.
KTR promised to set up a local skill centre focused on the needs of the cement industry.
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