Khulna Hardboard Mills needs urgent BMRE
Sunday, 14 June 2009
KHULNA, June 13 (BSS): Khulna Hardboard Mills (KHM), the country's lone hardboard manufacturing factory, is suffering from an acute fund crisis and the authorities have sought Tk 520 million (52 crore) from the government for making the plant fully operational.
KHM sources said the amount was needed for Balancing, Modernisation, Rehabilitation and Expansion (BMRE) of the plant to enhance its operational capacity while Tk 50 million was urgently required as running capital to keep the wheels turning.
The productivity of the KHM has been reduced significantly because of its obsolete machinery and the shortage of supply of furnace oil, lubricant oil and other logistics.
Khalilur Rahman, the managing director of KHM, told the news agency that the mills could be saved by allowing it to use sundari wood from the Sundarbans, furnace oil at low cost, imposing tax on import of foreign hardboards and reducing tax on local products.
Mechanical faults with the hydraulic pump had been hampering smooth production of the mills, he said.
KHM sources said the amount was needed for Balancing, Modernisation, Rehabilitation and Expansion (BMRE) of the plant to enhance its operational capacity while Tk 50 million was urgently required as running capital to keep the wheels turning.
The productivity of the KHM has been reduced significantly because of its obsolete machinery and the shortage of supply of furnace oil, lubricant oil and other logistics.
Khalilur Rahman, the managing director of KHM, told the news agency that the mills could be saved by allowing it to use sundari wood from the Sundarbans, furnace oil at low cost, imposing tax on import of foreign hardboards and reducing tax on local products.
Mechanical faults with the hydraulic pump had been hampering smooth production of the mills, he said.