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Debt-stricken dal mills exhibit weak pulse

Kalaburagi
Last Updated 14 September 2019, 19:12 IST

For those who are still left working in the dal mills of Kalaburagi and Yadgir districts, the ongoing economic slowdown is an extension of a deep crisis in the industry that has caused massive job cuts and losses since 2015-16.

Of the 400 dal mills in these two districts, 340 mills had shut down due to mounting losses. About 50,000 people who directly or indirectly depended on this business have been rendered jobless.

The proprietors of dal mills have cut down the strength of daily wage labourers to less than half now and in some units, the situation is dire.

“When the tur processing business was at its peak, we had around 25 daily wage labourers. Now we have reduced to five-six labourers,” Uday Patil of Sacchidanand Industries, told DH.

According to industry members, government purchasing tur directly from the farmers for distribution under Public Distribution System (PDS) has affected them adversely.

“The decisions being taken by policymakers is at odds with the ground reality. The government is purchasing tur directly from the peasants at minimum support price (MSP) and asks the dal mills to crush tur and sell at 30 to 40% lesser rate than the MSP. Is it not unscientific,” asked Patil.

To cope, industry stakeholders are recommending the government to take some urgent measures.

“Most of the debt-stricken dal mills have shut down. Hence, we are demanding the union government consider tur dal processing units as an agro-based industry so that we could get loans at 4% interest rate instead of 11%,” said Shivasharanappa Nigudgi, Gulbarga Dal Millers’ Association President.

“Since demonetisation, we have been in deep crisis and the processing of tur has come down every day,” said Amarnath Patil, Hyderabad Karnataka Chamber of Commerce and Industry President.

Daily wage labourers have migrated to other places to eke out a living, while a few have returned to their villages to take up agriculture, he added.

“Hence, we are demanding both state and Union governments announce rehabilitation package to the dal mills,” he said.

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(Published 14 September 2019, 18:24 IST)

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