Govt sops breathe life in ferro companies

Vizianagaram: Hopes of thousands of workers who have lost their jobs with the closure of ferro alloy companies in Vizianagaram are revived with the recent announcement of the government to help these industries. The AP government has announced a subsidy of Rs.1.5 on each unit of power consumed by these firms recently. This decision is helpful to the managements of the companies to reopen them and to start operations.

Around 10 ferro alloy units in Vizianagaram were closed due to the high tariff for power. At the same time, the declining price of the product in international market also forced them to shut down their furnaces. For the past 18 months, the workers of Jindal Stainless, Deccan Ferro, Andhra Ferro Alloy, SKS Ferro Alloy, Facor industries in Bobbili, Kothavalasa, Cheepurupally and Garividi remain jobless. Now, they are expecting that their companies would be opened again and they would get their jobs.

Recently, the association of ferro alloy industries have approached the government and requested to give subsidy of Rs 1.5 on each unit of power. They are paying Rs 4.87 so far. The government also agreed to their request and announced that it would support the industry and it has allowed them to pay the pending power bills on installment basis. Recently, the management of Jindal Stainless Steel convened a meeting with their staff, workers and sent a message that it would re-open the company but they should cooperate with the company to run in a smooth manner.

P Gopi, director of SKS Ferro Alloys at Garividi said, “The government has taken a favorable decision. We are planning to reopen the industries. We are in neck deep loses for the past few months and now we have hopes on our future.” L Naidu Babu, leader of workers union, Jindal Stainless Steel said, “Our workers have lost their jobs with the closure of the company.”