KOCHI: The Kalady grama panchayat which is known for its rice mills has wasted over Rs 50 lakh from the plan fund for setting up a jute sack manufacturing unit under its jurisdiction. The Accountant-General-Kerala discovered the waste. Interestingly Kalady panchayat president Thulasi Bhayi told DC on Wednesday that restarting the same unit was not viable anymore but the panchayat was looking at starting another unit!
The jute sack manufacturing unit was conceived nearly a decade back to support the rice mills in Kalady and adjoining areas. The land was purchased at a cost of Rs 9.55 lakh while the building to house the unit was constructed at a cost of Rs 19.3 lakh. The machinery was purchased at a cost of Rs 8.67 lakh and the raw materials by spending '7.03 lakhs and the rest was spent on other aspects. The manufacturing unit was set up in the beginning of this decade and 32 women were given training at the industrial extension office at Angamaly.
However, it did not take off due to the change in governance in the panchayat from LDF to UDF. The UDF dispensation did not show any interest in taking it forward, thus the investment in the unit became a waste, the AG’s audit found. Experts point out that rice manufacturing units have predominantly shifted to cheaper plastic sacks and hence jute sacks would not find many takers anymore. However, there are people who point out that being eco-friendly, jute sacks make a lot more sense. Official circles say that a clause in the bylaw of the sack manufacturing unit had become the bottleneck in opening the unit which led to the resignation of its chief promoter.
