Annuar: Out of 80 spinning mills in Annuar taluka, only 50 mills are operational. ‘They can operate fully only if the central and state governments fulfill their demands,’ said the mill owners. There are a large number of spinning mills in Annuar taluka in Coimbatore district. Mills with a capacity of 3,000 spindles to 50,000 spindles are located in Kariyampalayam, Ganeshapuram, Kunnathur, Pasur, A. Mettupalayam, and Pongalur areas.
These purchase cotton and lint from Andhra Pradesh, Karnataka, and Maharashtra. Cotton is milled in ginning factories in Annuar taluka and lint is supplied to spinning mills.
Cotton bales are also purchased from foreign states. In Annuar taluka, mostly 40th and 60th yarns are produced in large quantities. Yarn is sent to Somanur and Maharashtra. It is also exported abroad. The spinning sector provides the most employment opportunities after agriculture. However, this industry has been facing severe crisis for the last few months.
Some spinning mill owners said in this regard:
We have taken loans from banks and are running spinning mills. But there is no stable price for cotton. This industry is dying due to reasons such as shortage of cotton, increase in workers’ salaries, high electricity bills, high tax on imported cotton, and increase in bank loan interest. Spinning mills that used to provide employment to more than 25 thousand workers in Annuar taluka are currently being closed down. Out of 80 mills that were operating in Annuar taluka, only 50 mills are currently operating. Many of the workers who were working in these spinning mills have gone to other districts and states in search of jobs.
Some mills have been sealed for bank loans. The central and state governments should come forward to revive the spinning mill sector, which used to provide employment to thousands of people.
In some states including Andhra Pradesh, electricity charges are very low. Subsidies are being given to start a business. But in Tamil Nadu, electricity charges are high. There is a shortage of cotton. There is no stable price.
Taxes on cotton imports should be reduced. Exports should be encouraged. Interest on bank loans should be reduced. Since it provides employment to several lakhs of workers, the central and state governments should provide interest subsidies. Governments should provide basic facilities including shelter to the workers.
Cotton farmers should be given more incentives and varieties that give higher yields of cotton should be identified and cultivated. The government should take steps to purchase cotton lint and sell it at a stable price throughout the year. Stable arrangements should be made to ensure that the price of yarn does not fall.
If these measures are taken, the spinning mills will be fully operational again. Several lakh workers will get employment opportunities.
Thus, the spinning mill owners said.
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