| The firm, Bhavna Silk Mills, located at Adarsh Market - II, Ring Road, has been in existence for ten years. The firm did not open on Tuesday and Wednesday. Repeated efforts by the creditors as well as the Federation of Surat Textile Traders Association to contact the firm's owners proved in vain. |
| The federation's president Mahendra Saluja said: "We have tried contacting the firm owners, but we have been unsuccessful. The firm has vanished and we have received complaints from some traders. Since it was a very old firm, we are expecting many other traders to have lost their monies. We estimate the loss on account of the closure of the Bhavna Silk Mills at between Rs 3 crore and Rs 4 crore." |
| The federation's vice president Devkishan Manghani, said: "This is a dangerous trend that has taken over Surat's textile industry in the recent months. Traders are losing huge sums of money because of these instances. Since Diwali the traders and weavers of Surat, have lost in excess of Rs 200 crore. The industry will not be able to sustain these losses for long." |
| "The menace of vanishing firms can be curbed only if the state government pays some attention towards our demands. We have been demanding a Special Economic Offence Cell for the textile market but the response from the government has been poor," Manghani added. |
| However, Anil Patel, minister for textiles, government of Gujarat, feels differently. "The government of Gujarat is doing its best to promote the textile industry in the state by providing the required infrastructure. The textile firms are not vanishing because of the government's policies but because of the life cycle phenomenon. If there is a problem, the government will examine it and take appropriate measures," he said. |
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