Breaking News
:

Crisis Looms Over Indore's Namkeen Industry: Hundreds of Factories at Risk of Closure

Indore

Indore, a hub for the production of savory snacks (namkeen), is facing a major challenge following directives from the Madhya Pradesh Pollution Control Board (MPPCB). The board's order to transition from coal and bio-coal to cleaner fuels like CNG and PNG has put the future of over 250 namkeen factories in jeopardy.

The industry, which produces approximately 20,000 tons of namkeen daily, is now grappling with rising production costs and the possibility of relocation.

Impact of the Pollution Control Board's Directive

The MPPCB issued its directive in December 2024, mandating that factories switch to cleaner fuels within six months. Additionally, factories were instructed to submit an action plan for boiler modifications within 15 days.

While aimed at reducing pollution, the directive has sparked widespread concerns among manufacturers. Currently, these factories use coal and bio-coal, which are significantly cheaper than PNG or CNG.

Bio-coal, made from agricultural waste and stubble, is not only cost-effective but also benefits farmers. Manufacturers argue that switching fuels would triple production costs, making it nearly impossible to compete with industries in other states that do not face such restrictions.

Challenges Highlighted by Industry Leaders

Cost Impact: PNG is three times more expensive than bio-coal. Additionally, the state government imposes a 14% VAT on PNG, without offering tax credits, further increasing costs.

Limited Supply: The availability of PNG is insufficient, and achieving the required temperatures would demand more fuel, further inflating costs.

Competitive Disadvantage: Higher production costs would prevent Indore's namkeen industry from competing with manufacturers in other states, such as Gwalior, where there are no such fuel restrictions.

Concerns Over Relocation and Shutdowns

Industry representatives have warned that if the directive is enforced, many factories might shut down or relocate to other cities with less stringent regulations. This could significantly impact Indore's economy, where the namkeen industry is a major contributor.

Pollution Board's Clarification

Following protests from the industry, the MPPCB clarified that the directive was only a suggestion, not a mandate. Regional Officer S.N. Dwivedi stated that no binding orders were issued but rather recommendations for transitioning to cleaner fuels.

Current State of the Industry

Indore’s namkeen industry comprises approximately 250 registered factories, each producing an average of 100 tons of snacks daily. The total production stands at around 20,000 tons per day, making it a cornerstone of the city’s economy.

Manufacturers' Appeal

The Namkeen Manufacturers' Association has appealed to the state government to reconsider the directive, citing the economic and operational challenges posed by the transition. They have highlighted that the industry has already installed back filters and carbon collectors in boilers, which effectively reduce emissions, making a complete fuel shift unnecessary.

 

Popular post

Live News

Latest post

You may also like

Subscribe Here

Enter your email address to subscribe to this website and receive notifications of new posts by email.

Join Us