Spiralling yarn prices force 80 Sircilla Textile Park units to shut shop

The Park was set up at Sircilla as it is home to nearly 25,495 of the total 35,588 weavers in the State.
Machines grind to a halt at a textile unit in Sircilla Textile Park.
Machines grind to a halt at a textile unit in Sircilla Textile Park.

RAJANNA-SIRCILLA: When Sircilla Textile Park was opened in 2002-2003 with an investment of Rs 7.73 crore, the weavers in the area felt that their problems have finally come to an end and that they could look forward to a square meal a day. The Park, with 237 plots in it, was expected to provide direct employment to 7,000 workers.But now their dreams lie shattered as machines in about 80 units in the park have slowly ground to a halt and only silence reigns on the premises. The units gradually folded up with poor marketing facilities. On top of this, the steep hike in yarn prices has done them in. 

The Park was set up at Sircilla as it is home to nearly 25,495 of the total 35,588 weavers in the State.After the heartless pandemic hit the units leading to their near paralysis, it was hoped that life would come back as the Covid-19 retreated but that was not be. For the last two months, no trader is showing any interest in the 1.56 crore metres of cloth which remains piled up in the units. The value of the cloth is about Rs 2 crore.The cost of the production has shot up with polyester yarn rice increasing to Rs 270 from Rs 170 per kg a few months ago. Similarly polyester cotton yarn prices have increased from Rs 175 to Rs 270 per kg. 

Textile Park Units Association president Annaldas Anil said: “Even paying salaries to the workers is becoming difficult for us. For the last two months several units have shut shop.”The other factor that had seen the Textile Park go out of business is the power bills which broke the back of the unit owners. They are requesting the government to at least subsidise the power bills as is being done in States such as Maharashtra and Karnataka.“Power subsidy is our long pending request but government has not yet considered it. If it does, it would come as a  great relief for us,” said Textile Park Units Association president Annaldas Anil.  

“In Mahrashtra and Karnataka, a unit of power costs just Rs 3.5. But in Sircilla Textile Park, it costs Rs 7 per unit. Because of these factors our material is unable to compete with produce from other States,” he adds.After the closure of these units, around 1,200 workers have no means to look after their families, and they are urging the government to intervene and come go to their rescue.

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