New Delhi, Dec 22 (KNN) Moradabad, also known as the Brass City, has been the core city for the manufacturing as well exporting of brass wares. The trend, however, seems to fade away as the manufacturers are shifting from the brass wares to other metal based products.
 
The reasons giving rise to this phenomenon are many. Manufacturers in Moradabad, who are most the micro, small and medium enterprises (MSMEs) are facing high cost of production due to the expensive raw materials for brass based items.
 
“The metal’s cost has been rising tremendously,” Mahesh Chandra, Owner of Malac Impex, a brass-based manufacturing unit told KNN.
 
“The number of artists creating brass handicrafts has declined sharply because of the fall in sales and demand. Also, the manufacturers incurring low profits are unable to pay the high labour costs” he added.
 
The significant fall in the demand for brass-based items has propelled the manufacturers to shift their production.
 
“The demand in India as well as abroad is declining which has resulted in a shift from brass industries to aluminium and iron based products. We used to export 80 per cent of brass based products to Europe and USA earlier. But now, due to the fall in foreign demand, the exports have reduced to 20 per cent” said Vamil Malhotra of Ranu Exporters.
 
Malhorta also clarified the lack of government support to enhance the Brass industry in the City.
 
Moradabad, in spite of being a SEZ, is acquiring no help on the policy front to revive the Brass ware industry.
 
“We have been involved in meeting many of the government authorities making certain demands for our survival but that has proved to be in vain,” he said.
 
Some of the demands made by the brass manufacturers and exporters in Moradabad include- decrease in electricity cost, substantial fall in excise duty and service tax.
 
“None of our demands have been fulfilled yet so we have shifted our manufacturing base from brass to iron and steel based designer products,” Malhotra further told KNN. 
 
For importing the raw materials, the manufacturers have to pay an import duty of 32 per cent. The high rate of excise duty is troubling the exporters of brass wares. One of the major reasons that the exporters of the brass wares are suffering is because of a significant deterioration in foreign demand due to the hike in purchasing cost.
 
“The purchasing cost for brass item is USD 10 in foreign market, which is relatively high in comparison to the purchasing cost of Iron and aluminium centred items,” Naresh Katya of Bakson Exporters said.
 
“The purchasing cost of aluminium based items being USD 5 and that of iron based products are USD 3. The consumers prefer the products which are relatively cheaer, thus shifting their demand,” he added further.
 
The dying traditional industries of India are calling for attention from the government. The lack of industry friendly measures and policies has put a question mark over the survival of the country’s rich traditional industries. (KNN/ Jyoti)