Open end yarn mills in Tirupur, Coimbatore stop production

Image
Press Trust of India Coimbatore
Last Updated : Feb 08 2016 | 3:22 PM IST
As a cascading effect of the indefinite strike by powerloom job working units in Tirupur and Coimbatore districts, a section of open end mills which supply yarn to these units have stopped production from today, seeking an immediate solution to the problem.
The open end mills (OEMs), numbering around 300 in Tamil Nadu, majority of which are in Coimbatore and Tirupur, supply yarn to powerloom units.
Since these units went on strike from January 28, there were unlifted stock of yarns worth Rs 100 crore lying in these mills, OEM association sources said.
The mills produce 10 lakh kgs of yarn worth Rs 10 crore everyday and the stocks are now piling up in all the units, they said, adding that the production stoppage will affect nearly two lakh workers in the region.
Though the district collectors of Coimbatore and Tirupur held talks with the representatives of job working units and cloth manufactures, they failed to arrive at any agreement and the next round of talks are scheduled for tomorrow.
Meanwhile, the power loom units alleged that manufacturers have stopped paying them the increased wages of 27 per cent, as agreed in 2014, which had put them to a lot of hardship.
*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Feb 08 2016 | 3:22 PM IST

Next Story