Mohali, Dec 18 (KNN) The unprecedented increase in steel price and acute shortage of availability of raw material has increased the difficulties of the Micro, Small and Medium Enterprises (MSME) industries dealing in metal manufacturing, said Mohali Industries Association ( MIA) on Friday.

"Due to shortage of raw material, the prices of steel have gone up multiple times in the recent past making purchase unviable for the MSMEs of the region," said Yogesh Sagar, President, MIA.

"The prices are  increasing on a daily basis and it is becoming unviable for industries to execute existing orders as well as get new orders," he added.

Rajeev Gupta, General Secretary, said that the Micro and Small scale industries will be hard hit by this price rise as post lockdown they are barely managing to stay afloat.

"This price rise may result in closure of many Micro and Small Industries in the region, resulting in increased unemployment," he added.

The industries are already grappling with delayed payments. High raw material prices will increase the cost of the finished product and they will be unable to meet their earlier commitments.

The Association also requested that government should intervene so that steel at reasonable prices is made available to the industries.