Coimbatore : Arulmozhi, the General Secretary of Open End Spinning Mills Association (OSMA) has apprised that OSMA may go on a strike from May 1 to 5. "Around 180 mills will participate in this strike, owing to which 10 lakh kg of grey yarn production will be affected leading to a loss of Rs.14 crore," he noted.
Coimbatore : Arulmozhi, the General Secretary of Open End Spinning Mills Association (OSMA) has apprised that OSMA may go on a strike from May 1 to 5. "Around 180 mills will participate in this strike, owing to which 10 lakh kg of grey yarn production will be affected leading to a loss of Rs.14 crore," he noted.
"All efforts taken by OSMA urging the Government to reduce the price of waste cotton has gone in vain, hence we have announced this strike," said the General Secretary of OSMA.
"On a daily basis, 3 lakh kg of yarn is manufactured from OSMA mills and distributed in Somanur, Palladam and Erode. These yarns are used for making bed sheets and towels. The yarns which were sold for Rs.135 are now sold for Rs.145 per kg. The cost price of waste cotton has increased to Rs.24. An orderly system of sales tax is existing only in Tamil Nadu. Even after struggling for two years and requesting the Government, we could not find a solution to this problem," said Arulmozhi.
Arulmozhi opined that the packing charges for waste cotton is collected only in Tamil Nadu which is about Rs. 2.50. "To end this, the waste cotton should be sold with a lesser charge and packing charges should not be eliminated,” he added.