Only about 350 out of the 6,200 industries have resumed their operations in Srikakulam and Vizianagaram districts. Lack of material supply, insufficient manpower and bleak demand scenario for products among other reasons reportedly prevented a large number of industrialists from reopening their units.
In Srikakulam only 250 units out of 4,500 are functioning partially. Pharmaceutical industries, granite units and rice mills have become operational but only 30 out of 300 cashew units have begun production due to a lack of demand.
AP Chambers former president G. Sambasiva Rao demands relaxation of rules for transport of material. "Raw material comes mostly from other States including Bihar, Maharastra and Gujarat. Mere permission to reopen the units will not help unless the supply chain is restored," he adds.
"We came to know that many workers are not willing to attend duties fearing coronavirus infection. That is why, we have asked all industries to keep thermal scanners, sanitisers and masks which will give workers the confidence to attend duties," says B. Gopala Krishna, General Manager of the industries centre.
Financial crisis
In Vizianagaram district only 100 units out of the 1,700 have been functioning for the past one week. Many units are in a financial crisis and not in a position to pay salaries. This is said to be the main reason for the delay in reopening of many steel and jute factories in Kothavalasa, Bobbili and Vizianagaram.
Recently, the workers of the Steel Exchange of India agitated at Lakkavarapukota for the payment of March and April salaries. According to sources, many trade unions are insisting on payment of wage arrears and advance payments to workers. "Their demands may be genuine but industries are in deep crisis financially. The government should find out a way to resolve the issue and ensure economic activity in Vizianagaram district," says a senior executive of a jute factory in Bobbili.