Invariably, the SMEs and MSMEs also cannot afford to approach the big Indian mills owing to the size of their requirement. The local steel manufacturers do not entertain small quantity orders and are already charging 15-20% extra than the price in the international market.

Thus, the business, of small scale industries, is in grave danger as they would either have to shut down or run by incurring high costs for the final goods. Capitalizing on this hapless scenario, the local steel mills would increase the price and the user industry will be hit hard.

The steel industry experts predict that such a shutdown of SME and MSME industries would leave about 50,000 people jobless across the country directly. There seems to be no contingency plan as to how these people would earn their livelihood. In addition, one would see steep hike in the MRP of the products that require steel as a raw material.

"This is matter of months from implementation of this order. No businessman would like to burn a hole in his pocket, the pressure would be passed on to the end user, eventually," points out Gurnani.

SME and MSME sector are crucial to India's economic growth and accomplish the dream of ‘Make in India'. One has to wait and watch what turn this Quality Control Order would now take.
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