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Nearly 6 lakh tonnes of salt ₹100 crore worth has been washed away in the coastal district of Thoothukudi due to the unprecedent rainfall witnessed on December 17 and 18. The salt were ready to be despatched to various clients in India and abroad.
The natural calamity had horrific damage to lives and properties right from Kanyakumari to Vaalinokkam in southern Tamil Nadu. Such a devastation had not happened in the last century, said salt manufacturers.
Nearly 4 lakh people dependent - directly and indirectly - on Thoothukudi’s salt industry in the southern district of Tamil Nadu are in dire straits, and need to wait until next season - from March to September - to start earning, said manufacturers.
Industry dynamics
The salt industry at Thoothukudi spans around 20,000 acres with nearly 1,200 manufacturers 1,200 annually producing nearly 20 lakh tonnes. While direct employment in the salt production is around 35,000, indirectly, the industry employs around 3,00,000. Over 1.75 lakh family members are dependent on the industry, said sources.
The North East Monsoon seasonal rainfall of December 2023 turned into an unprecedented downpour on 17 and 18 with Thoothukudi recording a rainfall in excess of 90 cm in 24 hours, second highest in the Nation. Nearly four months stock of salt was washed away, said Michael Motha, Managing Director, Sahayamatha Salterns Pvt Ltd and Past Chairman, CII, Thoothukudi. “I have not seen such havoc to salt works in my lifetime,” he added.
Adding to the misery, the torrential rain combined with the excess water flow from Thamiraparani river breached the bunds of lakes and waterbodies of the district leading to flash floods across the district. This natural calamity has caused catastrophic damage to our lives and salt pans at Thoothukudi.
As salt pans across the district remain inundated, salt stored in heaps, motor sets, field partitions, drying area, internal roads, workers’ houses, electrical poles and distribution lines and all our basic amenities were completely washed away in this disastrous flood.
Assistance
The Tuticorin Small Scale Salt Manufacturers Association has urged the Union Finance Minister Nirmala Sitharaman to provide remedial measures by providing a grant of ₹1,50,000 per acre to all salt pan owners to re-coup the losses and a moratorium of principal and interest payment on all credit facilities availed by salt manufacturers till March 2024. The minister visited Thoothukudi on Tuesday to take stock of the situation on the damages caused by the rain and the subsequent flooding.
The association’s president D Chandra Menon in a letter to the minister requested swift action by the Central and State Government agencies to restore the infrastructure damaged by the floods. He also urged extension of the due date for filing GST and other statutory returns for a period of three months. No late fee, penalty or interest should be charged by the Government authorities, he said.
It is estimated that desilting of salt pans, preparation of salt reservoirs and condensers will cost at least three times the actual man hour effort and cost thereof. The production season is expected to begin after a delay of three months in April 2024. This would further shorten the production time available in 2024 leading to decreasing yield from the salt pans, he said.
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