Another sugar mill closed down in Gaibandha

Labour leaders of the mill announced an agitation programme against the lay off with immediate effect.

According to an official source, the mill went into production on December 5, 2003 with a target of production of 7,100 metric tons of sugar by crushing one lakh 10 thousand tons of sugarcane. But the mill authority compelled to close down its production due to short supply of sugarcane.

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The source further said the mill produced 4,000 metric tons of sugar by crushing 60,000 tons of sugarcane within only 45 working days.

In this season the rate of sugar extraction was estimated to be 6.70 per cent. The mill will incur a loss of about Tk 3 cr this season, said an official preferring anonymity.

Besides the mill would have to pay an interest amounting to Tk 4 cr 84 lakh annually as interest against loan of Tk 39 cr 48 lakh taken from World Bank, Industrial Bank and Sonali Bank. So the mill suffered a loss of nearly Tk 75 cr since its inception.

Abdul Matin, President of Rangpur Sugar Mills Workers' Union told this correspondent that this season labourers of the mill sacrificed their overtime allowance and rendered selfless service to make the mill profitable. But because of bad management of the mill it was closed. As a result nearly 1,200 labourers turned jobless.

While contacted Ashraf Ali, Managing Director of the mill told this correspondent that this season growers cultivated sugarcane on limited plots fearing privatisation of the mill. As such the authority was compelled to close down the mill due to acute shortage of sugarcane.