-SATISH HANDA .
The industry owners express worry over fast increasing prices of raw material in the country after COVID-19 outbreak, especially earlier imported from China as a result they are unable to make supplies against orders already received by them from buyers in the country as well as in export markets. They told that most of the orders procured by them have been cancelled as a result they suffered heavy financial loss, besides due to lock down declared by the government due to COVID-19 they were forced to close down their manufacturing units for months, followed by shortage of labour after lock down was lifted since most of the migrant workers had left for their native places, they added. The manufacturers told that they suffered heavy financial crisis due to huge finished goods stocks on which heavy investment was made by them remained dumped in their stores when large number of buyers refused to accept the same and in many cases they cancelled their orders.
The Financial World during a survey of famous scientific instruments industry at Ambala having nearly 1500 micro and small manufacturing units observed that nearly 30% small manufacturing units had closed down their shutters, another 30% manufacturing units are on the verge of closure and most of the remaining units facing severe financial crisis in the absence of orders and burden of overhead expenses. The manufacturers told that the cost of production of instruments has increased up to 50% due to drastic increase in the prices of raw material, especially metal and chemicals and buyers are not prepared to accept material at higher cost. According to industry owners, to make country self dependant government has increased anti-dumping levy on import of raw material including rubber, steel, aluminium and plastic imported from China, which may prove boon for indigenous manufacturers of raw material. The manufacturers expressed concern over drastic increase in the prices of raw material demanding government to control fast rising prices and save collapsing industry in the country
According to entrepreneurs, it is a good decision by the government to to impose anti-dumping levy on the raw material, but at the same time there is utter need to control their prices to keep industry in the country alive and also meet price competition in export markets. According to exporters, they are unable to get as well as quote prices due to constantly rising prices as such most of the export orders have been cancelled due to much increase in prices as compared to the prices offered by manufactures in China, Japan and Korea. Furniture business, too, has been worst affected due to rising prices of iron, steel, plastic and rubber witnessed heavy increase in prices in recent past. According to furniture manufacturers, the price of cold rolled steel coils has increased from Rs 42 to 74 per kg, SS coil from Rs 100 to 175 per kg, Copper from Rs 525 to Rs 620 per kg, rubber from Rs 115 to 155 per kg, PVC from Rs 104 to 158 per kg and Polymer from Rs 77 to ii4 per kg.
