ADILABAD: For decades, people in Adilabad hoped the defunct Cement Corporation of India (CCI) factory would reopen, restoring around 4,500 jobs and reviving the local economy. Those hopes have now faded, with a Delhi-based company beginning to dismantle machinery from the 120-acre plant for scrap.
The Union government has awarded a tender to the firm to remove machinery, vehicles and other equipment from the factory premises. Residents said expectations of a revival, supported by coordination between the state and Union governments and the availability of limestone reserves, have now been dashed. Farmers who had given their land for the factory remain uncertain about whether it will be returned to them.
The CCI unit was sanctioned in 1978 at a cost of Rs 60 crore, with production beginning in August 1982. The plant operated profitably until 1989, producing around 1,200 tonnes of cement, with the government purchasing output under the levy system. However, policy changes from 1991 ended the levy system and government support. The unit struggled to compete in the open market, leading to mounting losses and stock accumulation. In 1996, the company was referred to the Board for Industrial and Financial Reconstruction (BIFR), which recommended financial support, but no action followed. The plant was eventually shut down in 1998, and workers were given voluntary retirement.
The factory had provided around 4,500 direct and indirect jobs. It had access to limestone reserves sufficient for 25–30 years, 750 acres of owned land and 2,000 acres of leased land.
CCI Sadhana Samithi leaders staged protests in the past week, alleging that assurances to reopen the plant made before elections were not honoured. They demanded clarity from the Centre as well as local MPs and MLAs.
The issue has been a recurring political promise during Assembly and parliamentary elections. Last September, Union Industries Minister HD Kumaraswamy directed officials to prepare a detailed project report (DPR) on reopening the plant. Following this, CCI CMD Sanjay Banga held a review meeting in Hyderabad with State Industries Minister D Sridhar Babu and Adilabad MLA Payal Shankar, raising fresh hopes of revival.
After the formation of Telangana, the BRS had also promised to reopen the factory, but no concrete steps were taken. Former ministers KT Rama Rao and Jogu Ramanna had taken up the issue with Finance Minister Nirmala Sitharaman and former Industries minister Anant Geete, seeking to hand over the unit to the State for revival.
BJP leaders, too, had promised to reopen the factory ahead of elections. However, with machinery now being removed, residents say those assurances have not materialised. BJP leaders maintain that only scrap is being cleared from the premises.
