Soda ash makers hike prices by 12%

The prices have doubled in the past 15 months to Rs 16,750 a tonne from just over Rs 9,000 a tonne. The soaring prices have spelt trouble for detergent and glass manufacturers. Nirma and DCW have hiked the prices by 11.66 per cent or, by Rs 1,750 a tonne from July 15, taking the price to Rs 16,750 a tonne.

Industry sources say GHCL too is mulling a price hike in near future. With 14 per cent excise duty, 4 per cent VAT and transportation charges (Rs 400 a tonne), users will have to shell out anything in the range of Rs 18,000 to Rs 19,000 a tonne.

"In such a situation, it will be difficult for the industry to survive. Glass and detergent manufacturers are likely to be the most affected . Most of dyes and intermediates manufacturing units are bound with long term export contract. We are likely to face problems with these contracts," said Shankarbhai Patel, joint vice president, The Gujarat Dyestuffs Manufacturers' Association.