India's heavy reliance on imported PVC resin could make everything from water pipes and electrical cables to plumbing fittings more expensive after the Directorate General of Foreign Trade (DGFT) imposed a minimum import price (MIP) on Suspension Grade Polyvinyl Chloride (S-PVC) resin on Friday, according to a report by the Global Trade Research Initiative (GTRI).
The think tank said the new import restriction is likely to push up domestic PVC resin prices, benefiting local manufacturers, but increase input costs for thousands of downstream industries that use the material. Since India imports around 64% of the S-PVC resin it consumes, the measure is unlikely to significantly reduce import dependence.
