The All India Steel Bottle Association (AISBA) has raised an alarm over the surge in imports of substandard steel vacuum flasks, particularly from China, urging the government to implement immediate measures to curb the influx.
Official data reveals a 35% increase in the import of vacuum steel bottles from various countries, notably China, from the fiscal year 2019-20 to 2022-23, according to AISBA. Bharat Agarwal, Treasurer of AISBA, stressed the need for prompt action to protect the interests of domestic manufacturers and prevent the erosion of their market share.
Agarwal emphasized that January 14, 2024, marks the deadline under a Bureau of Indian Standards (BIS) order for the approval of imported products. He urged the government not to extend import relaxation beyond this date, as the current imports fail to meet BIS standards.
“We have invested around Rs 1,500 crore in the Indian market, and we have been unable to utilize our 100% capacity due to challenges from imports landing in India at costs lower than their actual manufacturing costs,” Agarwal stated. The AISBA treasurer highlighted that the industry’s installed capacity of 1,90,000 pieces per day is currently operating at only 20% of its rated capacity, producing 38,000 pieces per day.
Government intervention is seen as crucial to addressing the challenges faced by local manufacturers, allowing them to increase their capacity and potentially creating 25,000 job opportunities within six months. The industry currently employs approximately 9,500 people.
Agarwal outlined the potential for expanding into offshore markets such as Canada, Russia (known for colder climates), and hotter regions like Brazil, with government support. Unlike the 204-grade steel bottles imported from various sources, Agarwal highlighted that Indian-made bottles adhere to BIS-approved 304 grade standards, ensuring higher quality and the ability to maintain water temperature stability for up to 12-18 hours.
The plea from AISBA underlines the broader concern among Indian manufacturers about unfair competition and the need for stringent quality control measures to safeguard domestic industries. As the government weighs its response, the Indian steel bottle industry seeks a level playing field to foster growth, employment, and sustainable development.