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Karnataka industries department bats for restarting manufacturing units

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AgenciesKarnataka industries minister Jagadish ShettarKarnataka’s industries department has proposed a limited restart of manufacturing units to keep the supply chain from breaking away.

The suggestion comes on the back of reports of a possible extension of the lockdown beyond May 24. The May 7 guidelines have allowed manufacturing activities only in essential sectors including food processing. Industry bodies have written to the government with a request to let them resume operations, saying many of them are part of global supply chains. The industries department, in turn, is pushing for revival of manufacturing activities with only half the workforce and with even lesser manpower in garment units.

Industries minister Jagadish Shettar told ET that he has requested chief minister BS Yediyurappa to at least exempt export-oriented units from restrictions as they run the risk of losing orders or being blacklisted. “Not honouring supply commitments could hurt manufacturing and garment units in the long run,” he added.

Sections of officials say only original equipment manufacturers (OEMs) can be classified as those making essential or non-essential stuff. Such a distinction is not possible with many small and medium-scale industries as they supply components to all types of industries.

For instance, many suppliers in the aerospace and electronics system design and manufacturing sectors also supply parts to medical device manufacturers.

So, to assume they supply only to aerospace OEMs or to consumer electronics units would be incorrect, they said.


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