Ludhiana: Avtar Singh, president and Upkar Singh Ahuja, general secretary, Chamber of Industrial and Commercial Undertakings (CICU), Ludhiana have said that the hike in steel prices would lead to increase in agriculture implements and machinery.
They added that the hike in steel cost has increased Rs. 5 per kg in March this year in comparison to price of steel in the in the month of February this year.
“So, due to above increase in steel cost, farm machinery and implements manufacturers will have no option but to increase the prices of their products”, they said.
They added that agriculture machinery manufacturing industry is already passing through loss because of poor monsoon for the last two years and rise in the steel prices will lead to increase in the cost of agriculture machinery and implements.
Through mechanisation of machinery, agro industry is expecting the recovery of previous years’ sales dent in coming years follows, they said, adding that for the last many years, farming sector is facing problem of labor shortage, especially; during sowing and cutting seasons and thus not getting desired crop yields.
Due to this reason young farmers are not taking interest to work in farms. On the one hand mechanisation will reduce the labor cost and on the other hand, it will lead to improve yield from existing 10% to 25-30% in near future. This will also help for the survival of farmers and agriculture both in the country.
“CICU urges upon the Union Government to take immediate and appropriate steps to reduce the steel price and control the increase so that agro industry comes out of the comma of poor sales of the previous years and bees able to survive and remove trade barriers, such as minimum import price to get steel at nominal rate”, they said.
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