With the crash in China's markets and unfavourable policies of the government for sluggish business environment, cooperative textile mills in Maharashtra have decided to hold a one-day strike on September 1 to mark their protest. The decision was taken during a meeting of mill owners in Sangli. The executive director of Textile Federation of Maharashtra, S D Bauskar, said there is no option left other than shutting units in the face of low demand for yarn and some grave fundamental issues the industry has been subjected to due to the government’s apathy. Industry owners are incurring losses and shutting down is the only way to prevent this damage.
Stakeholders’ demands include subsidies on exports, a cut in power tariff and short-term loans, meeting their current requirement to pay wages. Experts, say, spinning mills are not the only ones facing the crisis, weaving and process houses are also going through this turbulent phase. Many power looms in Maharashtra are already closed for about a month or so.
Bauskar says the crisis may aggravate further if the state government does not pay any attention to the demands being made by the textile sector. The continuous indifference on the part of the government would only encourage the shift of the industry from Maharashtra to other states.