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Rediff.com  » Business » Dunlop's Ambattur plant to re-open on Monday

Dunlop's Ambattur plant to re-open on Monday

Source: PTI
Last updated on: April 08, 2006 21:54 IST
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After nearly five years of uncertainty Dunlop India's plant at Ambattur near Chennai would re-open on Monday with 1000 workers scheduled to join work under a new management headed by Pawan Kumar Ruia.

A spokesman of Dunlop India said that as agreed earlier 1000 workers would join the Ambattur plant to start the maintenance work to bring it to operational level.

Ambattur plant is in a much better shape than Shahgunj in West Bengal and, "at best it would take three months to start production," he said.

"The company has a target of achieving 130 tonne per day production once the plant becomes operational," he said.

Asked about the agreement with the employees, he said all issues have been sorted out at Ambattur and negotiations with workers' union at Shahgunj was going on.

He hoped all pending issues would be sorted out soon to pave the way for opening of Dunlop's second plant as well.

The Ambattur plant closed down in 2001 when the Dunlop India became sick under the Manu Chhabria led management.

Dunlop's revival prospects brightened when Ruia bought the entire tyre business of the Chhabria family controlled Jumbo Group of Dubai in December last year for Rs 200 crores (Rs 2 billion).

Ruia, who had earlier bought public sector engineering giant, Jessop, had proposed to re-open both plants with 1000 workers in each and offering VRS to others. Ambattur has 1400 workers and Shahgunj 2600 when they closed down.
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