Ludhiana: A staggering 25% increase in industrial diesel prices threatens to shutter 35% of local factories, with business leaders warning of a localised “emergency situation”.The price of industrial diesel surged by ₹22 to reach ₹109 for each litre this week. Coming amidst a severe shortage of liquified petroleum gas (LPG), the hike has left thousands of factories in Punjab struggling to maintain operations as the financial year-end approaches.Industrialists warn that the price gap between bulk industrial fuel and retail diesel will force factories to refuel at public petrol stations to save costs. This shift is expected to trigger widespread infrastructure strain and fuel shortages for the general public. “At least 30 to 35% of units no longer have the energy to function,” said Harsimerjit Singh Lucky, president of the United Cycle and Parts Manufacturers Association. “Large-scale industries are on the brink of closure. The situation is worsening by the day.”The crisis is particularly acute for heat-treatment and induction furnace sectors, which rely heavily on a steady supply of furnace oil and LPG. KK Garg, President of the Induction Furnace Association of North India, noted that the shortage of all fuel types has brought the sector to a “standstill.” “With deadlines looming, it has become impossible to complete dispatches,” Garg said. “This is not just an industrial problem; it is an inflationary one that will hike transportation and production costs across the board.“Gurmeet Singh Kular, president of the Federation of Industrial and Commercial Organisations (Fico), described the current climate as an “emergency,” questioning how workers will survive if the industrial engine of the region stops.The World MSME Forum has urged the central govt to grant “priority sector” status to the industry to safeguard employment. Meanwhile, the Petrol Pump Dealers Association of Punjab warned that the ₹22 price gap makes it inevitable that industrial consumers will flood retail outlets, potentially disrupting regular consumer services and straining fuel station infrastructure.
