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Recession heat on small auto units in Pimpri

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    An uncertain future awaits hundreds of small-scale industrial units in the automobile hub of Pimpri Chinchwad, with work orders getting drastically reduced and overhead costs shooting up.

    To save these industries from downing shutters, which will render thousands jobless, the Pimpri Chinchwad Small Industries Association (PCSIA) has written a letter to State Industries Minister Ashok Chavan demanding various concessions.

    Talking to The Indian Express, Chavan said “ I cannot react immediately to demands of the association. But I will set up a meeting with the members of the association and look into their demands soon.” When asked about a possible date for the meeting, the minister said he was unable to give a date at this point of time.

    However, MLA Vilas Lande said the matter needed to be addressed on an urgent basis. “I would be taking up the demands of the association with Energy Minister Dilip Walse Patil and Industries Minister Ashok Chavan tomorrow. The current condition of Pimpri Chinchwad MIDC is worrisome.” Lande himself is an industrialist and employs hundreds in the Pimpri MIDC.

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    In the letter sent to the minister on November 14, Arun Mehtre, Chairman of PCSIA, said that many industries situated in the automobile hub of Pimpri Chinchwad are forced to cut jobs and reduce their shift timings and also shut down the company for a few days due to the ongoing crisis.

    The letter also goes on to say that large industries have cut their production by around 60 per cent. Also, with the largescale industries witnessing a slump, they are extending credit period for payments.

    ... contd.

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