Industrial units hit due to erratic power supply and rising wages
Industry sector feels that lack of adequate infrastructure especially regular supply of power. (Photo: DC/File)
Rajahmundry: Even as the state government makes tall claims on creating viable atmosphere for setting up a large number of industrial units of small, marginal and major categories to boost up industrial production in the state, several industrialists turn critical by saying that it fails to provide proper infrastructure including regular power supply to the existing units and wonder as to how it expects more number of entrepreneurs would turn up to set up more units in such a hostile atmosphere.
The industry sector feels that lack of adequate infrastructure especially regular supply of power and steep hike in wages to the labourers are affecting them drastically. Though the infrastructure needs vary from firm to firm based on the product they manufacture or produce, they want an industry-friendly atmosphere in the state to continue the hassle free production. They are not confident of state government’s assurance to ensure 24-hour power supply to the industrial from October 2.
Indus Sri Ramdas Paper Boards director N. Srinivas Reddy says, “Paper industry is in crisis at present due to import of paper from overseas relatively at a lower price and other issues. Outage of even one minute of power affects the production of about one hour. We don’t mind if the state gives more incentives to the upcoming units but some incentives should be extended to the existing units also to help them survive. Otherwise, the new units make the existing units unviable.”
The industrialists say that promotion of capital and IT based units may not help more number of educated and unemployed youth to get jobs and the state government should encourage setting up of labour-intensive units to help creation of jobs. They complain about non-availability of labourers to engage them for work as they are demanding high wages.
With the launch of several welfare schemes including Mahatma Gandhi National Rural Employment Guarantee Scheme, housing scheme and others, the industry sector is finding it tough to engage the labourers for work as the latter are unwilling to work unless they are paid high wages.
High wage bill will be having its impact on margins of profit on the firms.
Eluru based Krishna Group of Industries managing director Brij Gopal Lunani says, “I employ nearly 7,000 workers in our units to carry out production and at present, we are facing shortage of nearly 700 labourers. In addition to this, outage of long hours of power is also affecting our production targets. New industries will come up only based on conducive atmosphere and not by sheer talk.”
Andhra Pradesh Federation of Industries president B.V. Rama Rao says, “The Centre should accord special status to Andhra Pradesh in an expeditious manner to provide more incentives to set up more number of industries.”
( Source : dc correspondent )
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