Move to reopen KNM, resolve industrial crises

Ministers may visit Khulna Tuesday

7 February 2009, 18:00 PM

Staff Correspondent, Khulna

Industries Minister Dilip Barua and Jute and Textiles Minister Abdul Latif Siddique are expected to visit Khulna on February 10 to discuss the issues relating to reopening of Khulna Newsprint Mills (KNM) and other industrial units. Resolving crisis in the industries was one of the pledges made by Prime Minister Sheikh Hasina at her election rally in Khulna before the December 29 parliamentary elections. During the visit, the ministers will also focus on other crises prevailing in jute mills and other units in the local industrial belt, said State Minister for Labour and Employment Begum Mannujan Sufian. Khulna Newsprint Mill (KNM) was shut down on November 30, 2002 on ground of being a losing enterprise due to severe financial crisis and other liabilities, including bank loans, amounting to over Tk 300 crore. After visiting the closed KNM on August 3, 2004, a team of parliamentary standing committee of the eighth parliament submitted a report to the government with three suggestions for reopening it. But the report gathered dust as the four-party alliance government made no positive response other than keeping it hanging with a motive to politicise the issue. Later on January 31,2005, the mill was handed over to Privatisation Board. The board, however, failed to give it to private sector it as no buyer at home and abroad showed interest to purchase the mill taking responsibility of huge financial liabilities. On December 26, 2005, a decision was taken by the government to hand over the land of the mill to Bangladesh Cottage Industries Corporation with a view to turn it into a shilpa park. But Bangladesh Small and Cottage Industries Corporation could not take possession of the land due to legal complications. As a result, shilpa park plan could not be implemented.