Politics · India Bureau
Coimbatore MSMEs plead for steel duty reprieve amid raw material crunch
Industry groups in the manufacturing hub have called for a temporary suspension of steel import duties and quality control orders to ease the burden of surging raw material costs. The associations are also pressing the government to bolster domestic supply chains.
LSN India ·
Small and medium enterprises in Coimbatore are facing mounting pressure from elevated steel prices and have moved to seek regulatory relief from the central government. Industry associations representing the region's manufacturing sector have formally petitioned for a six-month relaxation of import duties on steel and a temporary suspension of quality control orders to ease operational pressures.
The plea comes as raw material costs continue to climb, putting strain on production schedules and profit margins across multiple sectors dependent on steel inputs. Coimbatore, a major industrial centre in Tamil Nadu, hosts thousands of MSMEs engaged in precision engineering, textile machinery, automotive components, and related manufacturing activities that heavily rely on steel sourcing.
Beyond tariff relief, the industry groups have urged the government to undertake measures to improve domestic steel supply and strengthen the raw material supply chain. Officials said the temporary measures would provide breathing room for manufacturers to stabilize operations without passing on additional costs to customers during the period of price volatility.
The request reflects growing concerns among India's MSME sector about cost pressures in the post-pandemic period. Industry representatives indicated that sustained high input costs could impact the competitiveness of Indian manufacturers in both domestic and export markets if relief measures are not implemented promptly.