Sports goods makers feel the heat of West Asia war

Sports goods manufacturing hubs in Jalandhar and Meerut face rising cost pressure

- Manas Pimpalkhare & Vijay C Roy

Prices of polyester, plastics, composites, rubber and zinc used in sports apparel, rackets, helmets, hockey sticks and shoes have risen sharply.

(MINT)

India’s sports goods and equipment manufacturing industry, largely concentrated in Punjab’s Jalandhar and Uttar Pradesh’s Meerut, is facing mounting cost pressures as the US-Iran war pushes up prices of petrochemical-based raw materials.

Manufacturers, suppliers, and experts say prices of key raw materials, including polyester used in sports apparel, plastics and composites used in lightweight rackets, helmets, and hockey sticks, and rubber used in shoes, balls, and other inflatables, have increased sharply.

The price of HDPE (high-density polyethylene), a polymer, has increased to as high as ₹160 per kilogramme now from ₹96-100 per kg before the war, said Ravinder Dhir, chairman of the Khel Udyog Sangh Punjab, a group representing sports goods manufacturers in the region.

‘The price of rubber has risen to ₹235 per kg from ₹180 per kg, and of zinc to ₹310 per kg from ₹225 per kg, added Dhir, who also runs his own sports equipment supply business.

As a consequence, manufacturers have seen margins come under pressure during the April-June season, when demand in the domestic market dominates order books.