A week after India launched the country’s first carbon tax, a company that makes carbon fibre has decided to lay off some 300 employees.
Kebabco, a local firm, said on Monday that it will cut its workforce by about 50% from the current level of 2,000.
The announcement comes at a time when India is on track to become the first country to launch a national carbon price, which will set a price on the carbon content of products sold by 2020.
“This is an important move in the right direction for India and for the global carbon market,” Kebacom said in a statement.
“The global market is looking at India as a strong contender for the next big thing.”
India will implement the new carbon price later this year, following an approval from the United Nations Framework Convention on Climate Change (UNFCCC) panel, Keba Co’s CEO, Subrata Choudhary, said.
The company was founded in 2012 and has a portfolio of products including a range of products that are used in power plants, including kerosene, coal-fired generators and cement.