State industry minister Leeladhar Dhake, who heads the new committee, admitted that there was delay in clearing these proposals. However, he told The Financial Express that a final decision on the sale of excess land by textile mills in the city will be possible soon after the committee submits report.

Ironically, most of the 24 mills run by NTC have either become chronically sick or closed down. Both private mills and NTC mills have expressed serious doubts over the realisation through sale of land in the depressed markets.The list of proposals under Development Control Rule no 58 (2) submitted byprivate mills include Ruby Mills (May 5, 1992, 3,758 sq mt for development), Piramal Spg & Wvg Mills (February 23, 1993 and fresh application on March 6, 1995, 5,200 sq mt), Crown Mills (May 31, 1994, 3,800 sq mt), Victoria Mills (September 1994, 6,985.68 sq mt), Simplex Mills (December 8, 1994, 5,246.15 sq mt), the Bombay Dyg &Mfg Co (March 22, 1995, 17,109 sq mt), Morarjee Gokuldas Spg & Wvg-Sewree division (June 7, 1996, 10,948 sq mt) and Morarjee Gukuldas Spg & Wvg Co- Lower Parel (July 31, 1996, 6,895 sq mt).

Mill owners' Association (MoA), a representative body of private textile mills, has appreciated the state government's move. However, it has stressed the need for a speedy decision. MoA secretary YM Tamhane said the textile mills should be treated on par with other industrial units as far as land disposal is concerned. He demanded the state government should reduce octroi, sales tax and water charges imposed on textile mills in Greater Mumbai on the ground that these rate were quite high ascompared to other parts of India.

Mantralaya sources said the government has cleared proposals for sale of excess land by Khatau Mills, New Great Eastern Mills, Matulya Mills, Modern Mills, Shreeram Mills bowing the pressure from Board for Industrial and Financial Regulation (BIFR). However, the state government has failed to clear the remaining proposals both from state-owned National Textile Corporation and private run mills mainly due to lack of understanding between the ruling alliance partners.

Girni Bachao Sangharsh Samiti, a trade union assailed the government move and said that it was another gimmick.

The Samiti general secretary Dattaa Iswalkar alleged that the state government had shown a neglect towards the mill workers whose strength has been reduced drastically from 2,85,000 to mere 45,000. He demanded that the government should act or else face a wrath from the mill workers who will gherao the Mantralaya.