The sudden price rise of melamine has created an outcry in the laminate industry. The scenario has impacted the liner grade laminate the most. The liner laminates as a product is sold on low margin and the rising input cost has given no respite to them. According to the industry survey, the price of melamine is crossing Rs 325 plus hence there is a crisis of melamine for laminate units.
So far, till writing news, the plants are able to function only for few more days with the available stock of melamine. It is said, that in coming times, if the situation of availability of melamine does not improve, a large number of laminate industries may be in a situation to shut down their operations partially
The liner grade laminate market functions on low margin that doesn’t have capacity to increase its price to the respect by which the raw material price is raising, resultantly the laminate industry with huge volume of liner grade (half or even more) are going to observe shortage in supply due to drop in production at numerous units.
According to the industry experts, the availability of melamine is likely to continue for the next one to two months, which may affect the laminate industry to a great extent. The importers and suppliers of melamine say to the Ply Reporter that the crisis may increase in the coming times because the import of melamine is very slow and less in quantity
Although, the production at the domestic industries are good, but much lesser than the required quantity of melamine, that is leading to constraint availability of the material despite the price rise.