CPM urges TN govt to safeguard TNPL from the market crisis
he said TNPL, established in 1979 at Pugalur in Karur district, has grown into a leading global producer of bagasse-based paper, with an annual output of over 4.4 lakh metric tonnes
CPM state secretary P Shanmugam
CHENNAI: CPM state secretary P Shanmugam has urged the state government to take immediate steps to protect Tamil Nadu Newsprint and Papers Limited (TNPL), a state-owned enterprise, from mounting financial stress triggered by rising input costs and competition from cheaper imports.
In a statement, he said TNPL, established in 1979 at Pugalur in Karur district, has grown into a leading global producer of bagasse-based paper, with an annual output of over 4.4 lakh metric tonnes. A cement unit set up in 2013 utilises the mill’s waste to produce 900 tonnes of cement daily. A second unit, launched in 2015 at Mondipatti in Tiruchi district, manufactures more than two lakh tonnes of high-grade paperboard annually.
The company also generates 35.5 MW of wind energy in Kanniyakumari and Tirunelveli and funds several welfare schemes. TNPL employs over 8,000 people directly and indirectly supports nearly 20,000 families.
Despite being profitable for decades, the firm is struggling as paper prices have dropped from Rs 1 lakh to Rs 64,000 per tonne. He called for a reduction in GST on paper and curbs on low-cost imports, urging the Union and State governments to support and modernise the company.
