Guwahati: The jute mill at Silghat in Nagaon district, operating under the cooperative sector, has come to a standstill once again, with production ceasing on February 1 due to a shortage of raw materials, specially jute.
Sources said the mill’s second unit had previously shut down because of unpaid dues to jute suppliers. Management of the unit had been handed over to a Kolkata-based firm, which allegedly failed to clear the pending payments, triggering conflicts and even an attempted suicide.
Despite temporary intervention by the Kaliabor co-district administration and mill authorities, the situation has deteriorated. Experts attribute the crisis to mismanagement and alleged corruption among certain officials.
The mill, which had become profitable after reopening in 1986 under the Assam Accord, had been running smoothly until the Covid-19 pandemic. It had reported profits even in 2021, a trend that continued for the following fiscal years.
Recent efforts to revive the second unit with female labourers had shown promise, but the current shutdown has put thousands of workers’ jobs at risk. The crisis has been linked either to the non-payment of supplier dues or possible ulterior motives by some stakeholders.