Price hike to affect industrial production: IIA

Kanpur, Jun 6: Indian Industries Association (IIA) today criticised the hike in diesel price saying it would seriously affect the industrial production with the transportation cost of raw material shooting up.

Talking to newspersons here, IIA president Tarun Kshetrapal said since power supply was erratic, the industrial production was being maintained with the help of generators.

''As diesel price has gone up by Rs 2 per litre, it will only increase the burden on industries.'' He claimed that since kerosene price was left untouched, unscrupulous kerosene dealers would mix it with diesel to earn more profits, which would damage diesel-run generator sets.

He also demanded the withdrawal of subsidy on kerosene to check adulteration.

Uttar Pradesh Motor Transport Association President Ravi Gupta said transportation cost would go up by 10 per cent and the masses would suffer due to increase in diesel price.

Meanwhile, Communist Party of India (Marxist) activists burnt Petroleum Minister Murli Deora in effigy and raised anti-government slogans.

Demanding roll back of increase in diesel price, they criticised Union Finance Minister P Chidambaram for hike in prices of essential commodities.

A BJP spokesman also criticised the UPA government for its ''anti-people'' step of hiking prices of petroleum products.

On the announcement of movement by the left, he maintained it was drama to befool the people. ''The UPA government took the decision with the consent of these parties.''

UNI

Related Stories