Industrial goods are set to become dearer as the Nalagarh Truck Operators Union has hiked freight rates by Rs 1.80 per kilometre in the past 10 days. As there is no let-up in the West Asia crisis, the fuel prices have been increasing rapidly because a large chunk of crude oil is shipped from there. A fresh hike of 60 paise per km in freight was implemented on Monday while it was hiked by 30 paise per km on Sunday. Yet another hike in freight by 90 paise per km was effected on May 16, as the diesel price had increased thrice in the past 10 days.
Vidya Rattan, president of the Nalagarh Truck Operators Union, said that the industrial associations of the Baddi-Barotiwala-Nalagarh (BBN) area had been apprised about the freight hike by 60 paise per km implemented on Monday and by 30 paise effected on Sunday, as per an agreed formula.
It is said to be Asia’s biggest truck union and has more than 10,000 vehicles in its fleet. The increase in freight will make consumer products and commodities like cement, steel, pharmaceuticals, textile, etc. dearer.
The BBN, a leading industrial sector of the state, plays a key role in the country’s industrial economy. It accounts for one-third of the domestic pharmaceutical supply and a sizable quantity of food products, cosmetics, plastics, electronics, steel, cement and other consumer goods are manufactured here. These proudcts are transported to various states such as Punjab, Haryana, Rajasthan, Uttar Pradesh, Maharashtra, besides New Delhi every day.
Trucks are the sole mode of transportation of raw materials and finished goods in the BBN area, which houses more than 90 per cent of the state’s industry. More than 10,000 trucks are registered with the Nalagarh Truck Operators Union, which is considered the backbone of industrial activities. Any increase in diesel price and subsequently freight will have a direct bearing on the production cost.
Naresh Gupta, president of the All-Himachal Truck Operators Union, said that the frequent fuel price hike would compound the problems of the transport sector. He added, “It is an arduous task to implement a freight hike at places like Parwanoo and Dharampur where it is not linked to increase in fuel prices. In Parwanoo, the freight hike will be implemented from May 30 as more increase is expected.”
In industrial clusters like Darlaghat and the BBN, the increase in fuel prices is however linked to freight and the industries automatically implement it.
Gupta said that with a sizable decline in the industrial cargo, trucks were lined up for days at places like Chennai, New Delhi, etc. as they wait for goods to be off loaded and loaded. Under such circumstances, frequent fuel hikes would further cause loss of work.
