Sirpur Paper Mills (SPM) likely to face closure. Please save the Sirpur Kaghaznagar Town (Telangana)

SPM Has stopped the paper production since Sep 2014

Salaries are not payed to employees since Sep 2014 people are dying because of hunger and debt. SPM Management did not notice the employee on Clouser of Paper Mill.

We have lost already 7 life (Sucide & Heartattack) because of clouser of Sirpur Paper Mill since Sep 2014.

History

 Sirpur Kaghaznagar is a town, and a municipality in the eastern part of Adilabad district in the state of Telangana in India.

Historically Kaghaznagar was the part of Gond Kingdom of Chanda with its capital based out at Sirpur town. Also known as Kothapet, The new town of Kaghaznagar was founded by the Seventh Nizam HEH Sir Mir Osman Ali Khan Bahadur. Kaghaznagar was named after Paper Mills ("kaghaz" means paper in Persian), initially it was called Kothapeta (new village). The Sirpur Paper Mills Limited (SPM) an integrated pulp and paper mill is one of the earliest mills in the country situated at Sirpur-Kaghaznagar in the district of Adilabad, Telangana; it began production in 1942. There was another Company called Sirsilk which had been closed down long ago. 

A section of the Sirpur Paper Mills at Kagaznagar town where production of paper has been suspended owing to shortage of raw material.

One of the oldest paper mills in the country, SPM has turned into a loss-making unit over the last few years. The mill started with 6 paper producing machines and two more were added in 2007-2008 as part of modernization while production was increased to 300 tonnes per day.
Adilabad district, which has already lost much in terms of employment opportunities with the closure of the Sirsilk textile mill at Sirpur-Kagaznagar, the Cement Corporation of India (CCI) unit at Adilabad town and a number of small and medium factories, is not in a position to lose more on this count.
One of the oldest paper mills in the country, the Sirpur Paper Mills (SPM) also located at Sirpur-Kagaznagar, is likely to face closure as it has turned into a loss-making unit over the last few years. The future of about 3,200 members of its workforce (1,550 permanent workers, 1,150 contract workers and 500 of the staff) is at stake as there is still no sign of the mill resuming production even though a month has lapsed since production was suspended.
The SPM was established in 1936 by the Nizam of Hyderabad and production of paper started in 1942. In the 1950s, it was purchased by the C.K. Birla group and later transferred to the Poddars.
The mill started with 6 paper producing machines and two more were added in 2007-2008 as part of modernization while production was increased to 300 tonnes per day. Ironically, the unit started making losses from the following year, ending up with a cumulative loss of Rs. 200 crore this year.

The sharp hike in the price of raw materials from Rs. 3,000 per Air Drive Tonnes in 2010 to Rs. 10,000 per ADT at present has pushed us into the red. Moreover, the shortage of power supply has made paper production unviable here.

Please save Sirpur Kaghaznagar