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Tyre shortage hits CIL production schedules

KOLKATA: Faced with an acute shortage of tyres for its heavy mining equipment, which is threatening to derail its production plans, Coal India Ltd (CIL) has decided to enter into long-term tie-ups for assured supplies.

Senior CIL officials told The Hindu that talks have already been held with Bridgestone for tying up 20 per cent of its production (in a certain category). Supplies for this category, which will be for 85 to 120 tonne dumpers, will c ommence from 2008 and is likely to continue till 2012.

This would be the first such long-term supply pact to be entered into by CIL. Dumpers are used in opencast mines, which account for the bulk of coal production. Sources said that big-size dumper tyres, a critical input for increasing production at the opencast mines have been proving to be major problem for CIL. Globally, there is a problem in sourcing these tyres since, only a handful of companies manufacture them. The mining industry is on an upswing and the shortage of these tyres, used by the entire mining industry, is being felt acutely.

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