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Pumpset manufacturing sector in doldrums, a compulsory 12-day leave imposed on workers

SimpliCity News Team File Photo · 20 Dec 2022

Coimbatore: Pumpset manufacturing sector in Coimbatore district has a lion share of 50 per cent of manufacturing of pumpsets for home and agriculture purposes in India. More than one lakh people have been employed in this sector, which once thrived big time.

Pump sets with a capacity ranging from 0.5 HP (horsepower) to a maximum of 50 HP and above are manufactured in the industrial units in Coimbatore. Pump sets are manufactured in various models with price ranges of minimum of Rs.1,500 to a maximum of Rs.4 lakh.

According to industry experts, most of the industrial units in Coimbatore are forced to give its employees 12 days of compulsory leave every month as the sale of pumpsets has come down drastically due to multiple factors including hike in GST and rising raw material costs.

Vignesh, President of the South Indian Engineering Manufacturers' Association (SIEMA), said, "This year, the monsoon has been more than usual across the country. As a result, the sale of pumpsets for agricultural purposes has been sluggish affecting the sales figures".

Adding fuel to the fire is the hike in GST rate, which has been increased from 12 per cent to 18 per cent recently. On the other hand, the prices of raw materials continue to rise. Due to these factors, the price tag of pumpset products has gone up, resulting in dip in sales.

Similarly, Maniraj, President of the Coimbatore Pumpset and Spare Parts Manufacturers Association, said,"The pumpset industry, especially the micro-enterprises, have not been able to recover from the crisis till date after the Coronavirus outbreak. Many have temporarily stopped production altogether".

"The small scale industries usually enjoyed the highest sales in Tamil Nadu, Karnataka and Kerala. At present, sales have come down drastically. and the plight is that only 10 people are employed in each unit, which used to employ around 40 people. We are facing a crisis that has not been there in the past 30 years" Maniraj said.

"The Central government should take steps to bring down the prices of raw materials and GST. The Tamil Nadu government should also make it mandatory for Local bodies and Government offices to procure a certain percentage of their requirement of pumpset materials from these micro enterprises, so that this sector can revive its sagging fortunes" Maniraj added.

Pumpset manufacturing workers industry experts South Indian Engineering Manufacturers' Association

Pumpset manufacturing sector in doldrums, a compulsory 12-day leave imposed on workers

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