By IANS,
New Delhi : The government was forcing industry not to raise product prices despite inflationary pressures because of the coming elections, Associated Chambers of Commerce and Industry of India (Assocham) president Sajjan Jindal said here Wednesday.
“Inflation, more specifically in the year of election, is the biggest challenge in front of industry at present,” Jindal said during his first interaction with the press as the chamber’s new president.
He said inflation was pushing up input costs, making production more expensive. “Companies need to increase product prices as well. But the government is putting pressure on industry not to increase prices, because of the coming elections,” Jindal said.
“It is the biggest challenge in front of me as president of Assocham as well,” Jindal, who is also the managing director of JSW Steel, said.
“We acknowledge that the increase in crude oil price is a global phenomenon driving inflation. As far the steel sector is concerned, we have promised not to increase prices for three months. However, industry cannot contain prices for long,” he said.