Kutch's salt players in limbo over rail wagon shortage

Non-availability of railway wagons and declining exports are pushing the salt industry of the Kutch district into a financial crisis.

Requests for the allotment of over 200 rakes are pending, resulting in capacity accumulation of around 20 lakh metric tonne of salt.

"Apart from non-allotment of rakes by the Railways, other major problem which we face is the faulty weigh bridge at Viramgam. Railway authorities know this and companies such as Tata and IFFCO are exempted from using this weigh bridge. Railway authorities insist that the salt industry should weigh their wagons at Viramgam only," said Bachu Ahir, president, Kutch Small Scale Salt Manufacturers Association.

The salt manufacturers in the district are compelled to sell their stocks at lower prices and over 30 per cent of the total salt producing units in the Kutch district has closed down in the recent past.

Gujarat contributes over 70 per cent of the total salt production in the country. Of this, over 60 per cent is produced in the Kutch region.

At present the salt manufacturers in Kutch load only edible salt and free flow salt. There are eight salt refineries in the region which produce free flow salt.

"Even the soda ash and alkaline industry in the country is sick and since imported stuff is cheaper, the industry in the state face recession and as a result they do not buy industrial salt from the salt manufacturers in the district," said Ahir.

Salt was being exported to foreign countries from the Kandla port. But due to increased freight cost, exports may decline by four lakh metric tonne this year.

Moreover, there is no transport subsidy and the priority berthing status given by the Kandla Port for the export of salt has also been withdrawn. Also, there is no priority in berthing of ship carrying salt for exports.

The automatic conveyer belt system loading of salt, for which Tata Consultancy had prepared and submitted a report to the salt department, has also not started at the port. This has also made loading costlier.