Home RMG News Rajshahi Textile Mills affected with various problems

Rajshahi Textile Mills affected with various problems

Rajshahi Textile Mills is plagued with multifarious problems, including fund crunch, labour shortage and worn-out machinery. Apart, heavily indebted, the mill is limping with a loss of about Tk 60 lakh every month. But, through procuring new machinery and installing gas connection at an expenditure of Tk seven crore, it is possible to make the mills profitable, which will also create employment of about 500 people, experts said. Former Industries Minister Martyred AHM Kamruzzaman initiated setting up Rajshahi Textile Mills in the neglected Northern region, aiming to create employment opportunities and spread industrialisation. Accordingly, the foundation stone of the mills was laid on February 13, 1975. Later, the then President Ziaur Rahman inaugurated the mills with 12, 518 looms in the first phase on January 13, 1979. But for the low quality machinery it was not possible for the mill to fulfill its production target; though, in the following years of 1983 and 1984, the mills earned profit in its entire history. Afterwards, the production of the mills started to decline and now it is only a losing concern. According to sources, the yarn production of the mills reached 2,500,000 kilograms in 1979 to 1980. In 2014-15, the production reduced only 4.75 lakh kilograms. The overall condition of the mills’ missionary is not supportive in achieving the production target. The mills have such old Indian machinery in operation that does not even exist in India now-a-days. While now-a-days, a high tech machine runs at 20,000-30,000 RPM (Rotation per minute), the machines of Rajshahi Textile Mills run at only 7,000-8,000 RPM. As a result, the mills are facing loss and not being able to fulfill its target. Meanwhile, the mills now have fifty permanent staff and workers and 200 temporary workers who work on daily basis. Employed “no work no pay” basis, they receive Tk 85-140 wage per head daily. It is learnt, of all the eighteen mills controlled by BTMC, four are in Rajshahi. Of them, five mills are under liquidation scheme of the government. Arshed Ali, accountant of the mills, informed the mills is incurring Tk5,16,000 loss per month. He further said Tk 6,50,000 is spent only for paying the electricity bills every month whereas if they get the gas connection, the cost will reduce to only Tk 1,72,000. “If the new and good machineries from other closed mills are shifted here, production of the mills will double,” Ali added. Sheikh Abu Al Hossain, deputy general manager of Rajshahi Textile Mills, informed the higher authorities have been informed of the current situation and the problems of the mills.