The Hindu Business Line : Pump makers in a bind over ISI marking norms

With small and tiny pump manufacturers suspending billing of pumps from January 1, pending resolution of the ISI marking issue by the Union Government, stocks worth Rs 6 crore have accumulated with the manufacturers in and around Coimbatore.

Mr A.V. Karuppasamy, President, Kovai Power Driven Pumps and Spares Manufacturers Association (KOPMA), told Business Line there were around 600 small and tiny pump manufacturers in and around Coimbatore and about 2,000 ancillary units dependent on them. They manufacture pumps up to 15 hp capacity used both for agricultural and industrial purposes.

He said the Union Government had given time till December 31, 2006, for the power-driven pumps to get BIS certification (ISI mark), which would entitle them to excise duty exemption. The manufacturers had sought extension of the deadline till December 31, 2007, to create the necessary infrastructure to meet ISI norms. As the deadline was not extended, the manufacturers have suspended the billing of finished pumps from January 1.

He said the heavy initial investment needed to install the infrastructure required for obtaining quality certification and the high marking fee charged by the certifying agency every year were beyond the reach of most pump manufacturers. Each manufacturer was likely to incur an expenditure of Rs 3 lakh for the infrastructure and Rs 1.5-2 lakh each year as marking fee. Mr Karuppasamy said the manufacturers wanted the marking fee to be reduced to 10 per cent of the existing level. The units should also be provided with 75 per cent subsidy and financial help on easy terms to help equip them with facilities necessary to meet the quality norms.

No extension

He said the Industries Commissioner of Tamil Nadu had requested the State Government to take up the issue of deadline extension with the Ministry of SSI but, so far, no communication had been received from the Centre.

Industrial estate

Mr Karuppasamy said KOPMA had also initiated steps for the formation of an industrial estate with integrated testing facilities to manufacture pumps with ISI marking and land for the purpose has been identified.

More Stories on : Engineering | Standards & Benchmarks | SSI | Tamil Nadu

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page