Times of India reported that Ludhiana based fastener manufacturers have called for formation of a steel rate regulator. Fastener Manufacturers Association of India President Mr Narinder Bhamra told TOI “The biggest problem being faced by our industry right now is the huge fluctuation in the rates of steel raw material produced by the primary steel manufacturers due to which our businesses have been jeopardised. Be it private or government company producing steel, all are adopting unfair practices just to make more profits and they do it without even caring about the hardships which we may face due to the rate change. Due to this unethical practice, hundreds of micro, small and medium enterprises units engaged in manufacturing of fasteners have already become bankrupt and have closed down or are slowly heading towards this situation. We have recently sent several suggestions for Budget 2021 to the finance minister. We have demanded that in order to combat this situation of price rise a steel rate regulator must be set up in India but on the patterns of Telecom Regulatory Authority of India whose permission should be necessary before hiking even a single rupee in the rates.”
Ludhiana is one of the biggest hubs of fasteners and major products being manufactured here include nuts, bolts, studs, washers, screws and rivets, which are supplied to automotive, hardware, aeronautics and several other sectors. According to the FMAI, there are more than 5,000 units dealing indirect and on contract manufacturing and supply of fasteners to Indian and overseas companies. A huge supply of products is made to several big automotive companies, including Maruti, Tata, Mahindra, Ashoka Leyland, etc. In addition to the manufacturing units in the organised sector, there are hundreds of tiny units as well, which still operate inside the houses of the owners of these units.
Source: Steel Guru