Results in increase in productivity and decrease in production cost

Small and medium-scale industries in the city are heaving a sigh of relief as there has been no power outage for more than three months.

This has resulted in an increase in productivity and decrease in production cost, which was high during the corresponding period last year, when there were frequent power cuts, say small and medium-scale industry operators.

“It is a great relief that there is no power outage this year. Because of the unscheduled power cuts last year, we had difficulties in competing with industries from other States such as Andhra Pradesh and Karnataka,” K. Vasanthavel, president, Madurai District Rice Mill Owners’ Association, said on Sunday.

“Rice mills need continuous operation. With power cuts, we are unable to function smoothly. Some of us use generator sets, leading to increased production cost. Rice varieties from Andhra Pradesh and Karnataka are sold at lesser prices because mill operators there do not face issues pertaining to power supply,” Mr. Vasanthavel said.

“There are 140 rice processing units in Madurai, and at least 10 units process 20 to 25 tonnes of rice a month,” he added.

S.P. Jeyapragasam, president, Tamil Nadu Foodgrains Merchants Association, said foodgrains merchants were able to maintain the quality of their products because of uninterrupted power supply.

“Industries such as flour mills depend on power for their continuous operation. When there are power cuts, the consistency in grinding and other processing works could be affected. With no power cuts now, maintaining quality is easy,” he noted.

Madurai District Tiny and Small Scale Industries Association (MADITSSIA) president V.S. Manimaran said power cuts affected production.

“Uninterrupted power supply is a boon, but production in automobile and textile industries has not improved much because of global recession,” he said.

“Uninterrupted power supply must be beneficial to residential areas and small-scale establishments, but commercial establishments and industries that consume High Tension (HT) power are languishing because of peak hour restrictions,” said N. Jegatheesan, president, Tamil Nadu Chamber of Commerce and Industry.

“The real challenge in power situation will be known during peak summer. Even now, there are power cuts for around two hours a day, but that has not affected small and medium-scale industries,” he pointed out.

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