All textile sizing units across Bhiwandi have shutdown indefinitely from November 8, pointing to climbing raw material costs, sluggish demand, labour shortages and steeper wages.
This follows on the heels of powerloom owners in Bhiwandi calling for a complete shutdown of their units from November 1 to 20 to press long-pending demands on the government.
The decision emerged from a special meeting of the Bhiwandi Sizing Welfare Association. Sizing factories agreed to halt production, with the association set to review the closure and possible rate revisions after a week.
Association President Ajay Kumar Yadav said the textile market slowdown, together with an unprecedented surge in raw material prices, had severely undermined the viability of sizing operations.
“He added that a shortage of skilled workers, substantial wage hikes and the extra spending required to comply with government directives had compounded the situation further,” Lokmat reported.
According to the association, the combined effect of these factors has pushed production costs markedly higher, making it increasingly hard for unit operators to keep their businesses afloat under prevailing market conditions.
Earlier, powerloom owners in Bhiwandi had called for a complete shutdown of their units from November 1 to 20 to press long-pending demands on the government.
The powerloom factoiries resolved to keep units closed for 20 days to draw the government’s attention to their grievances, spanning yarn prices, taxes and electricity rates.
“The central and state governments are to blame for the pathetic situation in Bhiwandi, which is considered the Manchester of India,” said Naresh Sancheti, a representative of the powerloom owners.
The Bhiwandi industry employs nearly five lakh workers drawn from different states. Of the 15 lakh powerlooms, only 10 lakh are functional owing to various reasons, Sancheti had added.
The shutdown will affect around 20,000 powerloom factories in the textile hub of Maharashtra.
Image courtesy: Midday
