Can Sonia help revive HMT's Ranibagh unit?

Uncertainty continues to plague the Rs 65 crore-HMT watch factory at the Ranibagh area of the Kumaon region in Uttaranchal. The unit's future now seems bleak.

Within ten years of former Prime Minister Rajiv Gandhi inaugurating the factory in 1985, it went into the red, jeopardising the livelihood of hundreds of factory workers.

But since then, efforts had been made at different levels to revive the unit.

Local Congress leaders led by Nainital MP K C Singh Bawa have now urged Congress President Sonia Gandhi to help revive the HMT unit. For this purpose, a delegation also met Gandhi at her 10 Janpath residence in New Delhi recently and got a satisfactory assurance.

But official sources said it would be very tough for the Centre to revive the Ranibagh unit in the absence of any financial package. For this purpose, the Uttaranchal government has sent a report to the Centre recommending the revival of the factory.

There are also reports that the case has been referred to the BIFR although there was no official confirmation in this regard.

A factory official said, "Till date, we are receiving occasional orders from public sector undertakings; otherwise there is hardly any work in the factory." There are nearly 592 workers working in the factory, according to the official.

A voluntary retirement scheme was introduced about four years back, whereby nearly 250 factory employees were benefited. After that, no new scheme had been launched for the revival of the factory, the official said.