Indus Motor Company (IMC) has announced to shut down the plant for week due to challenges in opening of letters of credit (LCs) and supply issues.
The company has encountered significant challenges in importing raw materials and obtaining clearance for their consignments. These difficulties arise from the complications in opening LCs and supply issues with certain foreign vendors.
Consequently, both the company and its suppliers are facing disruptions in their supply chain, resulting in an inability to provide essential raw materials and components to sustain production.
As a result of the insufficient inventory levels, Indus Motor is regrettably compelled to suspend its production activities. In response to this predicament, the company has announced a week-long closure of its production plant, scheduled to take place from June 03, 2023 to June 08, 2023.
The decision to temporarily halt production reflects the company’s commitment to maintaining quality standards and ensuring a smooth supply chain operation. Indus Motor aims to address the existing challenges and resume its production activities promptly after the scheduled shutdown.
This temporary plant closure serves as a necessary measure to mitigate the adverse effects of the ongoing supply chain disruptions faced by Indus Motor and its vendors.
The uncertain economic conditions of the country have impacted the company and its ability to maintain its operations. Indus Motor focuses on resolving these issues and resume production after the shutdown period.