Hostile business environment and indifferent government policies hit Ambala mixi industry, says manufacturers

AMBALA: Ambala has gone down in history as the city where the first mixi in India was manufactured way back in 1963. Recalling the good old days, Ajay Aggarwal President of  Ambala Electrical Appliances said it was boom time for this industrialists in this business in the seventies as there was ready business for every body, despite the lack of sound technical knowledge, the idea caught on like wildfire and soon there were more than 500 unit engaged in this business to produce mixers, grinders, juicers and its components being supplied across the country. The handful manufacturers left now in this business at present in Ambala blame on insensible government policies like increased sales tax and lack of support, neglect, tough competition among manufacturers forced to work on nominal margin to remain alive when a mixi was being sold at a margin ranging between Rs 50 to 100 each due to tough price war, which slowly took the life out of this industry in Ambala when large number of mixi manufacturing units in the town were closed down and Ambala falled way much behind Delhi and Mumbai industry. There were some brave-hearts too who were waiting for a good time to return and the town slowly left with hardly 50 units from 500.

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The manufacturers while talking to the Financial world said stagnation in mixi-juicer business in Ambala is due to a multitude of reasons, the most important of them being hike in sales tax by the state government which affected business adversely, lack of sound technical know how and increase in production cost resulting the hikes eaten into profits badly up to 25%. Moreover, mixis-juicers manufactured in Ambala started losing export orders, because of higher rates. Finding problems, most of the manufacturers shift their business to other states or other products. The manufacturers said that the situation after 2000 turned so bad that only appropriate government intervention could help and the Ambala mixi industry started passing through a severe crisis and still there was no assistance from the government.

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The mixi manufacturers said, the industry in the town is likely to collapse further with new notification by the government dated 10th  October 2018 that mixis manufactured should have ISI certification and recently conducted raids on the manufactures in Ambala in which not only heavy stocks of mixis without ISI certification produced by the manufacturers were seized by the raiding team. Ajay Aggarwal president of the association said, Not-bandi, epidemic outbreak, farmers agitation for months and ‘Delhi Chalo’ agitation by the farmers since past about eight months are some of the factors adversely affecting the business and once famous Ambala mixi industry has completely collapsed.
Mixi manufacturers in the town said, the recent government Notification as regard mixis manufactured in the state to have ISI certification is likely to compel all mixi-juicer manufacturers in Ambala, once known as ‘Mixi Town’ to close down their business, since it is not possible for such micro industry to obtain ISI certification for 108 to 300 components used in mixers and juicers, besides spending huge amount on setting up a testing laboratory for such a large number of components used in manufacturing mixers and juicers by most of the tiny manufacturing units, compelling them to close their business. Most of the manufacturers blamed government wants to close down manufacturing units in the town having annual turnover over Rs 200 crore providing employment to nearly 15000 persons.

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