Punjab industrial units expanding out of the State

With infrastructure in a shambles and the Punjab government not paying much heed to the demands of the textile industry in Ludhiana, industrialists in Ludhiana are keen to expand outside the state.

Talking to Business Standard, the president of the Ludhiana Knitters' Association, Ajit Lakra, said the association at present was considering proposal from the Madhya Pradesh government, which has invited them to set up shop.

Sources with Vardhaman said, Nahar and Abhishek Industries are expanding their businesses in MP, and other Ludhiana-based textile units may follow.

Lakra said a group of 10-15 members would may be in the second half of April be visiting MP to study the infrastructure and other facilities available.

President Knitwear Club Vinod Thapar alleged that with infrastructure problem continuing to remain unsolved in Ludhiana, this probably could be one of the major factors for expansion of Ludhiana based textile units outside the state.

The erratic power supply has broken the backbone of industry in Ludhiana and due to which, Thapar rued that industries were incurring heavy losses.

Also the dilapidated condition of roads were compounding the miseries of industrialists in Ludhiana. Unrealistic realty prices were also not supporting the growth of industries in the state, Thapar said.

He added that industrialists were also facing the shortage of migrant labour.

Most of the industries till now relied on the migrant labourers from UP and Bihar but with development projects coming up in these states, the problem of labour is also turning into an serious issue for the textile industry.

Also with the state government failing to provide proper incentives to the textile industry in the state the expansion of textile industries outside the state was always on cards.

U K Sharda former Deputy Director in the Textile Commissioner Office, Amritsar suggested that in order to prevent the expansion of Ludhiana-based textile units outside the state, the state government needs to take some bolds initiatives to hold them back.

Also the Industrialists feel that the state government needs to pull up their socks and do a bit in order to encourage the industry growth in state otherwise the industries would be forced to scout for location in states providing better infrastructure and other facilities.