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Amritsar: Once in high demand, price of oxygen cylinders pinches consumers, unit owners

Amritsar, July 2 The crippling shortage of oxygen gas cylinders is over with subsiding of the Covid-19 pandemic. At present, retail users are lamenting high price of oxygen cylinders while its manufacturers are cribbing over high investment they made...
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Amritsar, July 2

The crippling shortage of oxygen gas cylinders is over with subsiding of the Covid-19 pandemic. At present, retail users are lamenting high price of oxygen cylinders while its manufacturers are cribbing over high investment they made during the emergency situation which arose after the onset of the pandemic.

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The shortage of cylinders during the pandemic hiked its price. Around the pandemic its rate spiked from Rs 200 to Rs 500 and did not come down even after the pandemic subsides.

Oxygen cylinders are mainly used in medical and industrial units. Welders use oxygen while cutting steel and iron. This increase in cylinder prices was passed on to consumers by manufacturers and their users.

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Manjit Singh, a welder at Gha Mandi, said before the pandemic a 10 cubic meter oxygen cylinder used to cost Rs 200. Now its piece had gone upto Rs 500 in retail. He said the input cost of welders had amplified as a shop normally replenished three to four oxygen cylinders every month.

Sumit Bhandari, a manufacturer, said two varieties of oxygen cylinders were available in the market. One with 10 cubic and another with seven cubic meter of oxygen. He claimed that the latter cost hung around Rs 200 apiece.

There are five units producing oxygen in the city. After the government intervention during the pandemic period their owners had doubled plant capacity from 1,000 to 2,000 cylinders per day. “I invested Rs 3.5 crore, which include Rs 2 crore borrowing from a bank. Besides, it spiked the monthly running cost of the unit.” Combined manufacturing capacity of the five units in the city is around 7,000 oxygen cylinders per day. However, the demand is half of the entire production.

Oxygen is required at every step of manufacturing and maintenance of machines. Goldsmiths require oxygen. It is required for patients during an emergency in hospitals.

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