Migrant exodus from Gujarat derails plans of industries to resume operations

AHMEDABAD: A packaging material factory in Sanand industrial estate received permission to operate in early April itself and used to clock 16-17 tonnes of production. Ganpat Mehta, the owner of the factory ensured the labourers are paid and taken care of, while his factory continued production activity with due social distancing and limited strength.

Today, Mehta’s manufacturing unit barely clocks 5 tonnes every day. “As the drive to send migrant labourers home began, labourer strength reduced by 80% at my factory, as most are migrants. It is impossible to operate a factory shop floors without people. At present, I am not able to fulfil order requests as production has come down to 20% of capacity,” said Mehta.

The mass movement of migrant labourers back to their home states has come as a major setback to industrial units across various estates in Gujarat. Due to labourer shortage, some units could not resume production even after the lockdown was eased and units were permitted to operate, whereas some others are forced to operate at limited production capacity. In Sanand Industrial Estate alone, at least 100 units have not resumed production. “Most of them have been unable to start due to shortage of labourers,” said Ajit Shah, president, Sanand Industries’ Association (SIA). “With public transport not resumed, factories are facing difficulties in bringing labourers to the workplace.”

Worker exodus jolts industry

The situation is even worse in Odhav Industrial Estate, where at least 500 units resumed operations after government nod; but were forced to shut owing to labourer shortage. “Migrants account for 70% of the labourer workforce in our estate, which comprises units manufacturing plastic packaging material, engineering and chemicals. With the widespread drive of sending migrants back home, several units resumed but shut down. Most labourers who are healthy and have work are also leaving the state out of panic,” said Prerak Patel, secretary, Odhav Industries’ Association.

The exodus also came as a major jolt to the ceramic manufacturing cluster of Morbi. Out of around 900 ceramic tiles manufacturing units, only 120 units have been able to start operations. The remaining units are unable to resume production for want of required manpower.

“Morbi ceramic industry employs around 4 lakh workers and 60% of them are migrant workers . Only 20,000 to 25,000 workers are currently available in Morbi. Large chunk of migrant labourers have left and ceramic units are in dire need of workers,” said Nilesh Jetpariya, president, wall tile division, Morbi Ceramic Association.

“Currently ceramic production in Morbi is at 10-15% of its normal capacity.,” said K G Kundariya, past president, MCA.

There around 2,000 small and medium ancillary units in Morbi, which are into paper, packaging, machinery, engineering, non-woven sacks and laminates. “These units also employ lakhs of labourers, they have also been hit hard by the workers’ exodus,” he added.

Migrant workers constituting around 35-40% of workforce in Changodar industrial estate near Ahmedabad. “Industrial units in Changodar are working at maximum 50% capacity due to worker shortage caused by the exodus of migrant workers as well as local labourers returning to their native places,” said Rajendra Shah, president, Changodar Industries Association.

“Foundry units are expected to bear the brunt as they largely employ workers from Bihar and UP,” Shah added.