Infar (India) claims it has lost export orders worth Rs 13 crore due to stoppage of work at its Ganganagar chemicals factory. The unit is under lockout since May 15.
Infar's Dutch associate company, Diosynth International, had placed an order for three tonnes of Nordione for 1997-98.
Only Rs 2 crore of Nordione was despatched before the industrial dispute stopped production at the factory..
The item is required as an intermediate for hormone preparations, in which Infar has a specialised market.
Diosynth is believed to have turned to a sister organization in Mexico for supply of Nordione. Infar could not make a sizeable dent in the market in the year ended March 31, 1997.
Sales stood at Rs 83 crore, marginally up from Rs 79.25 crore in 1995-96.
The company just managed to maintain its profitability in 1996-97.
Infar (India), in which Akzo Nobel Pharma BV of the Netherlands has increased its shareholding from 40 per cent to 50.4 per cent in 1996, recently finalised a Rs 50-crore project for setting up a modern formulations unit near Calcutta Airport, with the support of its Dutch parent company.
The strike by the workers and the consequent lockout by the management has cast a shadow over the investment proposal.
The management has taken a tough line and is not ready to negotiate with the workers unless an assurance is given that work will not be disrupted.
However, talks between the management and union are on.
For Infar, the current year is crucial as a change of guard is expected.
Managing director P Gupta will step down in favour of A V Iyenger, who is currently the director-cum-secretary of the company.
