OCTL may shift Nalgonda plant to AP

Oil Country Tubular Limited (OCTL), manufacturer of the drilling pipes used in oil and gas exploration, may move its manufacturing plant in Nalgonda district of Telangana to Andhra Pradesh owing to labour disputes, the company said today.
OCTL is flagship company of city-based Kamineni Group.
The company is actively considering three locations in AP and may zero on Krishnapatnam, Kamineni Group Managing Director Sashidhar Kamineni said today.
"We are faced with labour problems for the past few months which is affecting our work. The situation is forcing us to shift the location. Government machinery including the chief minister is aware of the situation," Kaminenni told PTI.

On November 10, the OCTL informed the BSE that the factory workers of the company at Narketpally went on a strike "illegally in concerted manner" without any notice or reasonable cause affecting the production and operations of the company.
Engineers and staff are carrying on operations partially. Though the state government is sympathetic about the situation, no positive result has come, he added.

According to him, the company has already identified Visakhapatnam, Krishnapatnam and Kakinada as the possible locations as they would want to start the operations from the new location within 6-9 months time.
Last year, the company's total income stood at Rs 358 crore. A considerable portion of the company's revenues come from exports.

When contacted OCTL Karmika Sangham (workers' union) president G Yadgiri said the management of the company is "resorting to harassment" ever since the workers started union in August this year.
Blaming the company, he said as many as 36 workers were sacked "illegally" as they are actively participating in union activities.
Kamineni said in case of shifting the plant, they would need around Rs 200 crore investment and nine months to commence the production from the new plant.