Monday, February 22, 2010

Railway Rake Shortage Hits More Industries In Bhutan

The Association Of Bhutanese Industries reports that the shortage of railway rakes to carry raw materials from India to Bhutan is now affecting other industries with the ferroalloy and calcium carbide industries now hit. These industries import charcoal mostly from states in southern India, such as Tamil Nadu and Andhra Pradesh.

The delay has meant that raw materials are now taking up to 20 days to arrive against seven to 10 days previously. Bringing in raw materials by trucks is not an option because of frequent strikes and mechanical problems faced on the way.

“We’re expecting the government to take up the matter urgently as, irrespective of the status of the plant, the industrialist has to pay a fixed cost,” said the ABI secretary general, Letho. However there are fears amongst some industrialists that plants may have to close if the issue is not addressed.

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