Mulugu: Despite bailout, BILT unit revival drags on

BILT Unit at Kamalapuram under Mangapet mandal in Mulugu district
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BILT Unit at Kamalapuram under Mangapet mandal in Mulugu district

Highlights

  • Management seems to be in no mood to reopen the unit
  • The closure has affected the livelihoods of at least 1,200 employees including contract and daily wage labourers

Mulugu: Unless someone waves a magic wand, it appears that the revival of Ballarpur Industries Limited (BILT) will remain virtually non-existent. Notwithstanding the bailout package announced by the State Government, the BILT management seems to be in no mood or at least in no hurry to reopen the unit that was once a top producer of rayon grade pulp and viscose staple fiber.

It may be recalled here that the Gautham Thaper-led Avantha Group's BILT was closed in April 2014, reasoning adverse global and domestic market conditions. The closure affected the livelihood of at least 1,200 employees including contract and daily wage labourers.

Amid cries of employees, the State Government issued GO MS 91 on December 14, 2015 granting a subsidy amounting to the tune of Rs 45 crore per annum towards procuring pulpwood - Eucalyptus and Bamboo, power bill, etc. to rescue the industry.

Thereafter, the management and the trade unions' join action committee (JAC) have come to an understanding in January 2019. The JAC has agreed to forego 50 per cent of medical reimbursement, leave travel allowance (LTA), conveyance allowance etc. Despite this, the management didn't come forward to operationalise the unit. The State Government held a series of meetings with the BILT management, but the negotiations yielded nothing. Now there are 480 regular employees after retirements and deaths.

Speaking to The Hans India, the APR Karmik Sangh, affiliated to Bharatiya Mazdoor Sangh general secretary Pakanati Venkat Reddy said, "It's been nearly 70 months since the regular employees drew their salary. Now, the issue is pending with the National Company Law Tribunal (NCLT) and sub judice, neither the management nor the State Government were in a position to decide the fate of the unit. A decision that could help the cause of employees appears a remote possibility."

Stating that their quarters were without electricity supply for about a year, he said that despite their repeated requests to the company and the government, 100 odd families continue to live in darkness. A majority of employees have already left Kamalapuram in search of livelihood, while some of them turned labourers in their own backyard.

Sources say that the BILT management is willing to invite expression of interest from parties that are capable of running the unit. However, it depends on the verdict of the NCLT. On the other hand, vexed with the BILT management's indecision, the State Government is reportedly exploring other options to run the unit.

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