The giant mill will rumble no more

Rangpur Sugar Mills laid off due to wrong policy, workers union says
Our Correspondent, Gaibandha.
The 46-year-old Rangpur Sugar Mills, the only heavy industry in Gaibandha district, will stop rumbling from tomorrow.

The mill authorities have completed all arrangements to hand over the installations and machinery to the district administration for maintenance and security.

Pay-off notices have been given to all its employees and workers, the mill authorities said yesterday.

Ignoring months of protests by its employees, sugarcane growers and political parties, the mill authorities on February 27 declared the mill laid-off from March 31.

About 1120 mill employees and workers will be jobless and over 20,000 cane growers and 2000 traders will be directly or indirectly affected by the closure.

Agitation by the mill's employees and sugarcane growers, joined by political parties, continued yesterday for withdrawal of the lay-off.

"We will plunge into great difficulties if the mill is really closed down because sugarcane cultivation was more profitable than other crops like jute and paddy as soil in the area is more suitable for cane cultivation", farmer Badiuzzaman told this correspondent during yesterday's demonstrations.

Several thousand employees and cane growers, joined by political activists staged a sit-in in front of the Deputy Commissioner's office and held a rally yesterday for withdrawal of the lay-off.

Earlier on the day, they formed a human chain on Gaibandha Shaheed Minar premises and brought out a procession in the town.

Speakers at the rally vowed to continued the agitation to protect the only heavy industry in the district.

They called a half-day hartal in Gaibandha on April 4 and announced other agitation programmes.

Yesterday's rally was addressed by, among others, Abdul Matin, president of the sugar mill's workers union, Gaibandha Workers Party leader Aminul Islam Golap, 11-Party Convener Mihir Ghosh, Gano Forum President mainul Huq Raja and BSD leader Ahsanul Habib Syed.

In May last year, the industries ministry requested the finance ministry for releasing Tk 20 crore 18 lakh on emergency basis to meet the pay-off costs. The mill was scheduled to be laid-off last year.

Cane growers and the mill's workers union began agitation in protest. The government temporarily dropped the lay-off decision last year and the mill continued production.

The workers union blamed wrong policy of World Bank, withdrawal capital, vat-tax and enhanced fuel cost as the main reasons for turning the mill a loss-making one.

Union leaders said the mill authorities borrowed Tk 22 crore from the World Bank in 1985-86 financial year and spent the money on unproductive heads instead of increasing the production capacity and improving the management. Since then, the mill has been paying Tk three crore interest yearly.

The than East Pakistan Industries Development Corporation (EPIDC) set up the mill in 1957 on 80 acres of land in Gobindaganj upazila in Gaibandha district. The mill possesses 1800 acres of cane-growing land.

Out of 46 crushing seasons since its inception, the mill incurred Tk 87 crore loss in 32 seasons and earned a profit of Tk 13 crore 44 lakh in 14 crushing seasons.

"This mill is going to close down with a burden of Tk 77 crore loss", said its Managing Director Ashraf Ali.

"Since its inception the highest production of 15,567 metric tons of sugar by crushing 1,97,000 tonnes of sugar cane was achieved in 1994-95", he said.

But workers union president Abdul Matin said, " Its a conspiracy. The authorities decided to close down the mill without considering the socio-economic effect on the people of the area."

Abdul Matin said, " This mill is eighth on the list of vulnerable mills, but all the seven losing enterprises are still in operation".

A small trader in the mill area said, " We will have to go elsewhere if the mill is really closed down".

Law enforcers say law and order may deteriorate and crimes may increase in the areas if the mills shut down.