The State government of Hyderabad has decided to revive the Kamalapuram Pulp Mill in Mulugu district, which is currently closed, in order to boost the economy and provide local employment. Chief Minister A Revanth Reddy held a meeting with Hardik Patel, the Managing Director of Finquest Financial Solutions Pvt Ltd, which has secured the assets of the mill and is in the process of selling them to potential investors. The Chief Minister expressed the government’s desire to facilitate the revival of the factory and requested that the process be expedited.
The Chief Minister also discussed ongoing projects and future expansion plans with Vadiraj Kulkarni, the CEO of ITC’s PSPD (Paperboards and Specialty Papers Division). ITC was negotiating with Finquest to acquire the assets of the mill. Revanth assured ITC of the government’s support in successfully reviving the factory.
The Kamalapuram Mill in Mulugu District was a Pulp Mill that manufactured Rayon Grade Pulp for the Viscose Staple Fibre (VSF) industry. It started production in September 1981 but was closed in 2014 due to financial difficulties. The closure of the mill has had a negative impact on the livelihoods of 750 worker families and many other families who depended on the factory. Previous governments tried to revive the mill in 2015 and 2018 by offering incentives, but these attempts were unsuccessful. The case was then referred to NCLAT, which appointed Finquest Financial Solutions Pvt Ltd as the Interim Resolution Professional in 2020.
