Adilabad’s Sirpur-Kagaznagar Paper Mills to be revived soon

Telangana State government has initiated measures to revive the Sirpur– Kagaznagar Paper Mills in Adilabad district, which was closed in 2014 . Minister for Industries K T Rama Rao on Monday instructed the officials and bankers to come out with proposals for revival of the industry. It provides direct employment to more than 2,000 workers. The Minister held a meeting with Forests, Science and Technology Minister Jogu Ramanna and other officials on Monday. He expressed his determination to revive all sick industries in the State. He promised to ensure that uninterrupted power supply is made to the industry.

The government has accepted a revival package proposed by JK Paper Mills to get the industrial unit back on stream. The Sirpur Paper Mills was shut in September 2014 throwing into jeopardy employment of 1,200 officers and staff and additional contract workers. With the unit’s revival now a certainty, not only are these jobs expected to be saved but over a period of time, as many as 10,000 families are expected to be gainfully employed through tree plantation activities in degraded land and forest blocks where the company will be allowed to raise plantations.

The government announced a slew of tailor-made benefits under mega projects category for the company. These include preference to the company in supply of copier and maplitho paper to the Telangana government at market rates, reimbursement of Rs 3 per unit of electricity consumed by the company for three years and electricity duty exemption for 10 years.

Among other important concessions are the capital subsidy at 20 per cent of investment subject to a maximum of ₹ 50 crore, supply of coal at a concession of ₹ 1,000 for 10 years, interest subvention of 2 per cent per annum on amount of new investments for 5 years. Also, the government has agreed to reimburse the liquidation value of workmen’s priority dues while reimbursement of all other dues to be decided by it later.

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