LPG stoppage since March 9 disrupts Indian MSME production lines
A sudden stop in LPG supply since March 9 is causing real trouble for micro, small, and medium businesses (MSMEs).
With key processes like powder coating on pause, many production lines have come to a standstill.
MSMEs play a big role in the economy, making up about 31% of India's GDP and nearly one-half of its exports, but now one unit said it has had to cut output by 40% just to keep going.
LPG market purchases squeeze MSME profits
Running on backup isn't cheap. Sunil Chordia from the CII National MSME Council shared that buying LPG at market rates is eating into profits fast.
Only around 10% to 15% of affected businesses can switch to electric alternatives right now.
While piped natural gas is coming eventually, most MSMEs are stuck waiting and hoping for quick solutions to keep their doors open.