Don’t miss the latest developments in business and finance.

'Workers of sugar mills will not be retrenched'

Image
Shishir Prashant New Delhi/ Dehradun
Last Updated : Aug 28 2012 | 12:25 AM IST

Amid resistance by the Bharatiya Janata Party (BJP), the Uttarakhand government has stated that sugar mill workers would not be retrenched under the public-private partnership (PPP) mode, which, it said, was the best viable option for modernising the ailing sector.

“Under the Cabinet decision, the workers of all the four sugar mills which are to be run on PPP mode would not be retrenched,” said Alok Kumar Jain, the chief secretary of the state.

Threatening a state-wide stir, BJP leaders have alleged that the government was handing over the control of sugar mills to some businessmen under a sinister deal. “Under the deal, all these sugar mills have already been sold to some businessmen. This move will jeopardise the future of thousands of sugar mill workers,” said leader of Opposition Ajay Bhatt.

A group of BJP leaders led by Gadarpur legislator Arvind Pande and former chief minister R P Nishank had held demonstrations opposing the Cabinet decision to run four mills on PPP mode and shut down Gadarpur sugar mill. The chief secretary also strongly defended the decision on sugar mills saying PPP was the best option before the government for modernising the loss-making sugar mills.

“All these mills need modernisation for which investment can come from private parties under PPP mode,” said Jain.

Jain also asserted all 600 workers of Gadarpur sugar mill, a cooperative unit under heavy losses, would be rehabilitated in other sugar mills. Gadarpur mill is being closed down due to difficulty in procuring cane.

After the last week’s Cabinet decision, the government will now work on the modalities of the PPP plan for sugar mills which includes the bidding process. After the completion of all PPP modalities, a proposal would again be kept before the Cabinet for the final approval.

Also Read

First Published: Aug 28 2012 | 12:25 AM IST

Next Story