Safeguarding Assets, Sacrificing Output: Andhra Paper’s Dilemma

Andhra Paper Limited has corrected its earlier estimate of production loss at the Kadiam Unit, revising the figure to 220 MT per day following a lockout declared on May 1, 2026. The company clarified that the earlier 70 MT figure reflected partial disruption during the strike, not the full impact of the lockout.  

The company announced that the lockout was enforced to safeguard employees, plant machinery, and assets after an illegal strike disrupted operations. With the lockout in place, the entire daily production capacity of the Kadiam Unit has been affected, leading to a significant operational setback.  

Key highlights  

• Revised production loss estimated at 220 MT per day  
• Earlier figure of 70 MT reflected partial strike impact  
• Lockout declared effective May 1, 2026, at 10:00 PM  
• No physical damage to assets; insurance coverage intact  
• Lockout enforced to safeguard employees and plant assets  

Sources: Andhra Paper Limited corporate filing, www.andhrapaper.com