ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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annum, the capacity sanctioned for Lever's Calcutta plant was 8,000 tonnes per vannum. NSD was removed from the banned list in June 1964. An application was made by TOMCO for an NSD plant at Ghaziabad with a capacity of 8,000 tonnes per annum, TOMCO proposed 10 make arrangements fur foreign exchange to pay for the import of capital equipment through a loan from a foreign bank. It further proposed that the for eign exchange requirement for import of raw materials would be met from the company's earnings from export of vegetable oils, etc. However, the government now appeared to take the view that NSD was not an essential industry and that since it involved recurring mi port of raw materials, TOMCO's proposal should not be granted. It was argued that even if the company was earning foreign exchange through exports, such foreign exchange could be used for importing materials for more essential industries. On this basis TOMCO's application as well as those of Swwtik and Godrej for new units of 3,600 ton- nes capacity and of the Government Soap Factory, Bangalore, for a unit of 1,200 tonnes capacity were all rejected in November 1964, Thus even though the ban on creation of further capacity in the NSD industry had been removed, Indian companies were not permitted to .set up units for reasons whichhad obviously not been considered important when permitting Lever to establish a new unit some months earlier.

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