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Unorganised competition - abrasives (low-end imports)

Competition & Market Structure · Informal competition

What it is

Cheap standard-grade abrasives, largely imported, competing at the commodity end of the market where the buyer is a small workshop purchasing on price

The organised sector meets this with brand, consistency and technical service rather than by matching price

Impact on industries

  • Caps pricing in standard grades, which are the highest-volume part of the market and the entry point for customer relationships
  • Quality variability creates safety risk in bonded wheels, since a burst wheel at speed is dangerous, yet enforcement of standards is weak
  • Pushes organised players up the value chain into super-abrasives and application engineering, where imports cannot follow
  • Quality control orders and BIS certification requirements, where applied, restrict the lowest-grade imports

Industries affected