Demand to reopen Teaktex

PALAKKAD, DEC. 27. The joint trade union of Teaktex, a knit processing unit in the Kanjikode industrial area, has demanded that the State Government take steps to reopen the unit.

The company, started by the Tirupur Exporters Association in 1996 has an accumulated loss of Rs. 46 crores. The major investment has come from banks. Its eight promoters invested only Rs. 3.44 crores. The KSIDC has a stake of Rs. 7.34 crores in the unit.

For the last many months the company was run by KSIDC nominees. But due to lack of working capital, the company is closed now, the trade union leaders said.

The Bharatiya Mazdoor Sangh (BMS) district president, Mr. S. Dorairaj, said that the workers are prepared to run the factory if the KSIDC and banks write off their loans partially and provide working capital.

The company has the facility of a wide range of state-of-the-art processes - all under one roof. These include yarn dyeing, singeing, mercerising, bleaching, fabric dyeing, printing, tubular compacting and open width finishing.