Guwahati: The Assam government is scouting for a partner to revive the Rangiya-based Assam Polyester Cooperative Society Ltd mill, which is closed since December 2016.

An official source said the state government has invited expressions of interest (EoI) from companies having requisite experience to operate the ailing mill.

The state registrar of co-operative societies recently issued a notice, inviting EoI from companies having a proven track record in operating spinning mills profitably for "managing sustainable operations" of the APOL mill.

He said the company selected would be responsible for procurement of raw material, operation of the mill, including production of yarn, stock-keeping of supplies and yarn, marketing of yarn and other byproducts as well as maintenance, repair and procurement of spares for the machinery. It would also explore opportunities for business development, including product diversification.

The prospective bidder will have to assess capacity and upgrade employees and equipment, comply with the applicable waste management regulations and obtain the certificates required, process quality accreditations and industry affiliations.

The APOL mill is a state public sector enterprise which was registered in 1981 under the Assam Co-operative Societies Act, 1949, and is engaged in production of spun yarn.

The installed capacity of the spinning unit of the mill is 19,200 spindles.

The mill has not been able to run profitably since 2013-14 because of financial constraints and has remained closed since December 2016.

The present state government, led by chief minister Sarbananda Sonowal, decided to revive the mill and provided a budget of Rs 10.11 crore as financial support for its sustainable operation.

"The state government now proposes to engage a suitable partner for operation of the spinning unit located at Tulsibari at Rangiya in Kamrup district and make it economically viable," the source said.

Nearly 700 workers of the mill have staged protests from time to time, demanding release of their pending salaries.

An employee of the mill had committed suicide in November because of financial hardships.