Reviving Mysore Paper Mills in Bhadravati: Privatization Plans Underway

The historic Mysore Paper Mills (MPM), originally envisioned as the dream project of Nalwadi Krishnaraja Wadiyar and Sir M Visvesvaraya, now faces significant financial struggles, with losses totaling Rs 1,482 crore and an outstanding electricity bill of Rs 229 crore. In response to these challenges, the Industries Minister, M B Patil, has recently announced that the state government is actively exploring options to revive the defunct paper mill located in Bhadravati, including the possibility of privatization.

Following a high-level meeting chaired by Patil and attended by Bhadravati Congress MLA B K Sangamesh, the minister stated that he has directed Chief Secretary Vandita Sharma to convene a meeting aimed at finding a resolution to the long-standing issues plaguing MPM. Patil emphasized the critical role of the finance department in addressing the current financial burden, further stating that privatization would be considered as a potential solution after discussions with officials.

Despite the state government's provision of Rs 850 crore in financial aid to MPM in the form of loans since 2010, the revival of the paper mill has remained elusive. Patil underlined the urgency of evaluating options to breathe new life into this critical unit.

MPM currently oversees approximately 23,000 hectares of forest and non-forest land, where acacia, eucalyptus, and bamboo are cultivated. Patil instructed officials to carefully assess whether eucalyptus cultivation could be permitted in case the land is leased out, as the growing of this tree is currently prohibited in the state.

Furthermore, the minister highlighted that MPM employees have been placed in various state-run organizations, corporations, and boards, while some have opted for voluntary retirement. He also stressed the need to address the wages of around 250 forest watchers who are employed on a casual basis.

The efforts to revive Mysore Paper Mills reflect a commitment to preserving this historical institution and finding sustainable solutions to its financial challenges while ensuring the welfare of its employees.