Overcoming the problems and Setting Up the PSPD Plant in Bhadradri
Not only the employees of ITC-PSPD in Bhadrachalam, but also local farmers and residents of the holy town, fondly recalled the hard work and visionary stewardship behind the establishment of the Bhadrachalam Paperboards and Specialty Papers Division (PSPD), viewing it as a monumental case study in entrepreneurial leadership, industrial transformation, and holistic nation-building.
As part of his final rites on Wednesday, the family of the late K. L. Chugh immersed his chithabhasmam (ashes) in the Godavari River. The ceremony was attended by his son Amit Chugh, daughter Vandana Menon, son-in-law Rajaraja Menon, and granddaughter Indeera Menon. Former colleagues, employees, and well-wishers also gathered to pay their respects and honor his dedicated services.
Holistic Nation-Building and Socio-Economic Empowerment
The others, who recalled the working-style of K L Chugh, were including Ex Unit Head of BPL/ ITC LTD PSPD Pradeep Dhobale, ITC-PSPD retired CEO Sanjay Singh, ITC-PSPD retired CEO Manjeeth Singh, ITC-PSPD unit retired head A V Rao, ITC-PSPD unit head Shailendra Singh, HR head Syam Kiran and ITC officer Chengal Rao and employees and locals were present to the program. The following were their observations pertaining to Chugh.
Speaking on the occasion, Pradeep Dhobale, retired Vice-chairman of ITC Ltd, said that K L Chug undertook the monumental task of setting up the plant in the remote, economically backward tribal region of Sarapaka near Bhadrachalam along the banks of the Godavari River, conventional wisdom deemed it a high-risk venture. Because of his strategic foresight, the project was engineered not merely as a manufacturing facility, but as a crucible for developing world-class human capital and resilient organizational culture. Chugh believed that true leadership meant creating leaders out of ordinary people.

Navigating bureaucratic resistance and red tape during the stringent “Permit Raj” era through relentless persistence and uncompromising integrity. Reframing the project as a crucial engine for regional economic revival in the backward tribal belt of Sarapaka near Bhadrachalam to secure policy-maker approval. Engineering one of the fastest and most successful paper mill projects globally despite immense logistical and operational challenges along the Godavari River.
Decentralized Authority and Human Capital Development
Championing the belief that true leadership means creating leaders out of ordinary people. Decentralizing authority and fostering absolute ownership among young engineers and employees. Cultivating a resilient organizational culture that transformed ordinary workers into world-class human capital.
Blueprint for Social Responsibility and Ecosystem Harmony
Integrating a profound sense of social responsibility to ensure the enterprise thrived in harmony with its surrounding ecosystem. Spearheading pioneering farm forestry schemes, extensive social forestry, and robust community welfare programs alongside initiatives like the Bhadrachalam Mahila Samithi.
Direct and Indirect Impact on the Region
Transforming the Bhadrachalam area—previously known primarily for the Lord Rama temple—into a thriving industrial and economic hub. Providing thousands of jobs and paying better prices directly and indirectly to local eucalyptus farmers, proving that visionary enterprise and grassroots empowerment can create enduring corporate legacies.
Lord Rama was the spirit behind the ITC-PSPD in Bhadradri
Dr. Shankar Reddy, a well-wisher of the factory and its workers, noted that the Bhadrachalam area, which is an underdeveloped one, came to light due to the Lord Rama temple and the ITC-PSPD division in Bhadrachalam. “Lord Rama blessed the people of the region in one way by giving inspiration to the ITC management to set up a unit in Bhadrachalam, and the ITC-PSPD company obeyed the Lord and set up the unit here under the leadership of Chugh. The unit is providing thousands of jobs apart from paying a better price to the eucalyptus farmers directly and indirectly,” he said.

Principal Correspondent, Prime Post
CS Kulasekhar Reddy had thirty five years experience in journalism. He worked in Udayam and Andhra Bhoomi as reporter and sub-editor. He highlighted various social issues in Chitthoor, Ananthpur, Kadapa and Kurnool districts. He covered assembly sessions and Secretariat happenings.
Email: sangatiksr@gmail.com
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