Home / Knowledge / News / Textiles / Govt unable to restart Hetauda Textile factory
Govt unable to restart Hetauda Textile factory
09
Sep '09
Efforts of the Government to restart the operations of closed Hetauda Textile Factory witnessed a setback, as the price quoted by the bidders in the tenders was too high.

Tenders were invited to sell 100 metric tons of cotton to the factory, though there was not any affirmation from the government to restart the factory. Only two bidders took part in the tender process, who quoted higher prices than the government's expectations.

The bidders had quoted Rs. 275 and Rs. 290 for per kilogram of cotton, which was almost three times, the government's expectations. However, they had not specified the quality of the products too.

The government had invited tenders to purchase cotton at about Rs. 100 kg, which is the average value that Cotton Corporation of India (CCI) was offering, informed Mr. Tej Raj Shakya, Joint Secretary at Finance Ministry and Chairman of the factory.

Cotton Development Committee (CDC), a government owned corporation had offered A-class cotton to the factory at Rs. 132 per kg, earlier. But, the factory had rejected the offer mentioning it as expensive.

The government took around 50 days to complete the tender process from its preparation to cancellation.

It is mandatory for any government owned body to follow the Public Procurement Act while purchasing goods. But, the process of this Act takes much time, which makes government unable to operate any factory, said an official of Finance Ministry.

After witnessing losses for several years, the government had closed down the factory in 2001. It had made efforts to sell the factory to the private sector, but it didn't work. Before the closure of factory, its workers were paid their outstanding wages.

Fibre2fashion News Desk - India


Must ReadView All

Courtesy: Tego

Apparel/Garments | On 18th Jul 2018

Tego plans to expand product range in 2018-19

Tego, a company that creates premium athletic gear for modern...

Courtesy: Pexels

Apparel/Garments | On 18th Jul 2018

US clothing retail sales up 4.6% in June 2018

Despite the US trade war with China and other countries, sales in...

Waltonchain COO Monitor Chan (left) with director of Kaltendin Product Centre, Zhang Zhengxiong. Courtesy: PRNewswire/Waltonchain

Apparel/Garments | On 18th Jul 2018

Kaltendin & Waltonchain launch WTC-Garment system

The leader in blockchain + IoT, Waltonchain, and China's high-end...

Interviews View All

Top executives
Textile industry, India

Such fairs are a must for industry to showcase new innovations

Shawn Honeycutt
Bolger & O'Hearn

‘The Indian market is interesting and rather persistent in seeking new...

Kamlesh Vaghela
RK Textiles

Very few machinery manufacturers have R&D units

Rikesh Mistry

Jupiter Comtex Pvt Ltd, established in 1973, started its textile machinery ...

Tejas N Patel, Navin D Patel

Founded in 1999 by Navin Patel in the name of Tejas Fabrics with 100...

Mala Alwani

<div>Delhi-based fast fashion womenswear brand, Besiva, aims to bridge the ...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Adriano Goldschmied
AG Jeans

The hype around 'designer jeans' was created by him. And the new wave of...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Vaanee Bhatia
Gritstones Clothing

<div>Delhi-based Gritstones Clothing offers quality and exemplary style...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


July 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Advanced Search