Suraj Cotton Mills Limited (PSX: SURC) has announced to cut down production at all facilities by up to 40 percent.
According to a stock filing, the textile manufacturer said the curtailment is a temporary measure and expressed hope that the situation will improve in the first quarter of the calendar year 2023.
The company said, “Due to worldwide recession and low demand, it is not feasible to continue with full production in our plants. Our operational feasibility is further affected by the high cost of doing business”.
“Part of the curtailment of spinning operations is also due to BMR activities in line with our policy of adopting [the] latest technologies. Keeping in view these factors, the Company has decided to curtail production in all its facilities by up to 40%. This is a temporary measure and we will keep reviewing the situation,” it added.
At the time of filing, the company’s scrip at the bourse was Rs. 155, down 0.1 percent or Rs. 0.15 on Friday.
