Kovai pumpset makers to hike prices soon due to falling

COIMBATORE: Pumpset manufacturers in Coimbatore region have decided to increase the price of the pumpsets soon due to the increase in input costs. Most pumpset manufacturers who are part of the MSME sector say prices of raw materials and spare parts have shot up due to fall in the rupee. “As the input prices have increased, business would be economically viable only if the prices of finished products are increased,” said Kovai Power Driven Pumps and Spares Manufacturers' Association (KOPMA) president K Maniraj said.
According to him, prices of materials such as copper wires, stainless steel rods and impellers have increased by around 25%. “Copper wires that were sold at Rs.600 per kg are now Rs.750 per kg and prices of stainless steel rods have increased from Rs.100 per kg to Rs.125 per kg,” he informed. Maniraj said that impellers made from alloy have increased by 25%. Manufacturers are expected to increase the prices of pumpsets before the start of the rainy season. “Demand for pumpsets will go up when the northwest monsoon, the main rainy season in Tamil Nadu sets in,” said Suresh, proprietor of United Pumps.
Hinting that farmers will have to shell out at least 7% extra for purchasing pumpsets in the ensuing monsoon, Suresh said that higher fuel prices have also resulted in increase in input costs. MSMEs in the district who are in the pumpset business produce sets ranging between 1 horsepower (HP) and 20 HP with prices ranging between Rs.2000 and Rs.50000. Spare parts prices play an important role in the prices of end products as around 100 spare parts are used in pumpset manufacturing. “Prices of pumpsets are not increased often and only circumstances like these lead to the price rise,” said R Vadivel of Reliance Pumps and Motors.
Maniraj said the government help in stabilising the prices of raw materials by setting up a raw material bank in Coimbatore to aid pumpset manufacturers. “If this is not done there will be fluctuations in prices of pumpsets also,” he added.