The business impact of the coronavirus spread in China is clearly visible on the world as well as India. The prices of many raw materials have started increasing, while the prices of many are expected to increase in the coming days. Manufacturers say that domestic suppliers of raw materials are also taking advantage of the environment. Simultaneously, Engineering Export Promotion Council Executive Director Suranjan Gupta said that the prices of some raw materials related to engineering goods have gone up. While prices of certain types of steel have increased by up to 10 per cent, SC Goodhan, an engineering goods exporter and former president of the Federation of Indian Export Promotion Organizations, said raw material prices such as nylon have gone up. The price of raw materials related to chemicals has increased by five to 10 percent.

According to the CLSA report, India is largely dependent on China for electronic and white goods, along with the prices of television panels, AC and refrigerator compressors and alloy chips have gone up by five to 10 per cent and the supply chain has not improved. The situation may worsen if occurring. Leading companies in India's electric goods market, Crampton, Voltas, Havells, depend on China for their raw materials. As such, electronic components account for eight per cent of imports from China. With this, the entrepreneurs say that there is a stock of raw materials. At the same time, the situation will be clear only after the review of the stock, but the price will increase if the supply is less than the demand. At the same time, some businessmen are also taking advantage of the negative environment caused by Corona.

Apart from this, Rajiv Chawla, chairman of the Integrated Association of Micro, Small and Medium Enterprises, says China is the world's factory and its crisis will be impacted across the world, with small entrepreneurs not directly sourcing goods from China. They depend on domestic suppliers for raw materials. At the same time, he said that after review of the stock in March, the prices of raw materials may increase. In such a situation, he said that entrepreneurs do not have the option of China, as well as for example supplying raw materials from China to make paracetamol medicine. With this, raw materials for paracetamol can be sourced from Germany when supplies are stopped from China, but it is many times more expensive than the raw materials of China. At the same time, selling medicine made from it will not be practical in the market.

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