Andhra Paper Faces Operational Setback as Rajahmundry Strike Halts Production, Talks Underway

 Andhra Paper Ltd is grappling with a significant disruption at its Rajahmundry manufacturing unit following an illegal strike initiated by workers’ unions. The strike, which began on January 3, 2025, has led to a daily production loss of approximately 510–520 metric tonnes, impacting both pulp and paper output. The company is actively engaging with trade unions to resolve the issue and restore normalcy.

 

Key Developments and Operational Impact:

 

 

Management Response and Outlook:

 

 

Conclusion: While the strike poses short-term operational challenges, Andhra Paper’s proactive engagement with unions and insurance coverage for assets provide a cushion against deeper financial strain. A swift resolution will be critical to restoring supply chain continuity and meeting customer commitments.

 

Sources: CNBC TV18, Business Upturn, Andhra Paper Regulatory Filings, Company Website