Cement plants go into red

SRINAGAR, Oct 4:  Cement plants have incurred massive losses as production remained shut in Kashmir since August 5 due to protests against abrogation of Articles 370 and 35 A which conferred a special status to the State.
Production in 12 cement plants in the Valley and another over 10 small and big units in Jammu has ground to a complete halt due to non-availability of labour and transportation, coupled with suspension of construction activities, resulting in a major drop in demand.
Over four lakh skilled and unskilled non-local workers were either asked to leave or proactively left Kashmir fearing retaliation after the Centre’s move to reorganise Jammu & Kashmir to improve its governance.
”Production in all the 12 cement plants, including Khyber, in the Valley remained shut due to non-availability of non-local labourers. The cement plants in the Valley are heavily dependent on non-local labourers and have only clerical staff from the state,” Ajaz Dar, a cement dealer said.
Mr Dar said production in these units was severely affected after the non-local labourers left the Valley. ”Since the demand for cement also witnessed considerable drop due to suspension of construction work, the production in all these units was completely halted,” he asserted.
However, Mr Dar said that most of the cement plants have a small buffer stock, which they are providing to dealers on demand. ”Same is the case with the units in Jammu. The production there has also come to a halt as all the cement produced in J&K is utilised in the State. We also import about 50 per cent from outside the State,” he said.
Production, Mr Dar affirmed, in cement plants in other States has also been affected. (UNI)